An alliance led by Brookfield Asset Management Limited, which includes Gulf Islamic Investment Company, Marathon Asset Management Company, and the “State Oil Fund of Azerbaijan” (SOFAZ), announced on Tuesday the signing of a binding agreement, subject to certain completion conditions, with the Varkey Investment Group in the… GEMS Education is under its umbrella.
This deal is expected to be completed during the third quarter of 2024, and is subject to all parties meeting specific conditions.
GEMS Education began its journey in 1959 with a single school founded by a family of teachers upon their arrival in Dubai, and its business has grown to today become the largest provider of private education services from kindergarten to grade 12 in the world. It educates 140,000 students.
GEMS Education obtained financing commitments from a consortium of Emirati banks to finance this deal, including financing to repay the company’s existing bonds.
As part of this transaction, existing minority shareholders, including Khazanah National Berhad, will exit. Funds managed by CVC Capital Partners will sell a large portion of their shares in the company.
Operational operations
Sunny Varkey, founder of GEMS Education Group, said: “We focus on operations and have a long-term strategic view. Brookfield’s partnership with the family and the GEMS community confirms the breadth of our work, the quality of education services and the distinguished infrastructure that we provide in the UAE.” .
Higher education
Dino Varkey, CEO of GEMS Education Group, said: “We are committed to providing high-quality education. Today, more than ever, we are in a good position to achieve further growth based on a supportive operating environment that has contributed and continues to record record levels of students enrolling in our schools, supported by a strong economy in the UAE and a growing population.”
Notable station
Jad Al-Lun, Managing Partner and Regional Head of the Middle East at Brookfield Group, said: “The investment in GEMS Education represents a milestone in the journey of Brookfield and the private equity business unit in the Middle East, which reflects our firm commitment to investing in this region, which is full of potential… “High growth, and enhances the strength of our local partnership network.”
Perfect opportunity
Dave Santani, Managing Director of Brookfield Private Investments, said: “The investment deal in GEMS Education provides an ideal opportunity to combine our well-established local presence, extensive operational experience and Brookfield’s global ecosystem, with the flexible strategic capital solutions provided by the private investment program to support the company’s growth.”