President-elect Donald Trump has named his transition co-chair Linda McMahon as his pick to serve as the next secretary of the Department of Education.

The decision, which Trump announced Tuesday night confirming CNN’s earlier reporting, took shape after it became clear that McMahon would be passed over for Commerce secretary. Trump named his other transition co-chair, Howard Lutnick, as his pickHoward Lutnick to lead the Commerce Department earlier Tuesday after the Cantor Fitzgerald CEO had thrown his name into the mix for Treasury secretary, sparking a battle with hedge fund manager Scott Bessent.

“Linda will use her decades of Leadership experience, and deep understanding of both Education and Business, to empower the next Generation of American Students and Workers, and make America Number One in Education in the World. We will send Education BACK TO THE STATES, and Linda will spearhead that effort,” Trump said in a statement.

McMahon served as the administrator of the Small Business Administration during Trump’s first term. She was appointed in 2017 and resigned in 2019 to become the chair of America First Action, a pro-Trump super PAC.

She is the board chair of the America First Policy Institute, a pro-Trump think tank that was formed in 2021 by McMahon, Larry Kudlow and other advisers from the first Trump administration.

AFPI has raised millions of dollars since it was founded and has been described as a “White-House-in-waiting,” planning potential policy proposals for Trump’s second term.

McMahon is also the former CEO of the WWE, which she co-founded with her husband, Vince McMahon. As head of the WWE, Linda McMahon oversaw its transformation from a small wrestling entertainment company into a publicly traded media empire. She stepped down as CEO in 2009.

McMahon twice ran unsuccessfully for the US Senate in Connecticut, losing in 2010 and 2012. She self-funded those campaigns, spending $50.1 million in 2010 and $48.7 million in 2012, according to Open Secrets, a nonprofit organization that tracks campaign financing. Trump donated $5,000 to her campaign in 2012.

McMahon herself is a major Republican donor. During Trump’s first campaign for president, McMahon donated more than $7 million to two pro-Trump super PACs, according to Open Secrets.

This headline and story have been updated with additional developments.

CNN’s Kate Sullivan contributed to this report.