AEZ Group acquires 50% stake in Mother's Pride for Rs 500 cr
Diversifying into education sector, real estate developer AEZ Group on Wednesday said it has acquired 50 per cent stake in kids pre-school chain Mother's Pride for Rs 500 crore.
By PTI |
NEW DELHI: Diversifying into education sector, real estate developer AEZ Group on Wednesday said it has acquired 50 per cent stake in kids pre-school chain Mother's Pride for Rs 500 crore.
"It is true that this (education) is the right sector for investment which is upbeat, risk free and where revenue are growing at more than 50 per cent across the industry. But for the AEZ, education has always been on the radar," AEZ Group Managing Director Sanjeev J Aeren said in a statement.
The company has invested Rs 500 crore for acquiring 50 per cent stake in Mother's Pride, which has a revenue of Rs 100 crore from its 26 schools in the National Capital Region.
AEZ Group said the stake has been bought on a deferred payment plan spread over six years and about 30 per cent of the all-cash deal has already been paid. The realty firm has raised Rs 150 crore through internal accruals to fund the acquisition.
"AEZ Group plans to invest another Rs 500 crore over the next five years for the expansion of the joint venture," the company said, adding it has planned to add 100 branches of the school across India over the next 3-5 years.
"The school chain is also eyeing oversees expansion although plans have not been finalised as yet. The joint venture is also planning to have a new chain of schools -- Sparsh -- which will cater to the physically and mentally challenged children," the statement said.
"It is true that this (education) is the right sector for investment which is upbeat, risk free and where revenue are growing at more than 50 per cent across the industry. But for the AEZ, education has always been on the radar," AEZ Group Managing Director Sanjeev J Aeren said in a statement.
The company has invested Rs 500 crore for acquiring 50 per cent stake in Mother's Pride, which has a revenue of Rs 100 crore from its 26 schools in the National Capital Region.
AEZ Group said the stake has been bought on a deferred payment plan spread over six years and about 30 per cent of the all-cash deal has already been paid. The realty firm has raised Rs 150 crore through internal accruals to fund the acquisition.
"AEZ Group plans to invest another Rs 500 crore over the next five years for the expansion of the joint venture," the company said, adding it has planned to add 100 branches of the school across India over the next 3-5 years.
"The school chain is also eyeing oversees expansion although plans have not been finalised as yet. The joint venture is also planning to have a new chain of schools -- Sparsh -- which will cater to the physically and mentally challenged children," the statement said.
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