China Maple Leaf Educational Systems Ltd acquires Canadian International School, one of the largest international schools in Singapore, for SGD 680 million.
In line with its strategy, China Maple Leaf Educational Systems Ltd. (“MLES” or the “Company”), today announced the proposed acquisition of Canadian International School Pte. Ltd. (“CIS”), a leading premium international school in Singapore, for SGD 680 million.
- Acquisition of one of the largest for-profit premium international schools in Singapore
- CIS has a 30-year operating history in Singapore and enrolls approximately 3,500 students on its 2 campuses
- The acquisition extends the footprint of MLES into the attractive international school sector in Singapore, a leading global education hub
- Brings a top-tier brand name into MLES’s portfolio of schools
- Opportunities to share best practices from MLES and CIS across the whole group
MLES will acquire 100% of CIS for a total purchase consideration of SGD 680 million, including the settlement of the existing bank debt and the share consideration, payable in two tranches: (i) upon completion of the acquisition of a 90% shareholding in CIS; and (ii) upon acquisition of the remaining 10% shareholding after the close of the academic year ending in July 2022, based on an agreed pricing formula. Expected completion is in Q3 2020, subject to MLES’ shareholders and regulatory approval.
Upon completion of the transaction, CIS will add a capacity of 4,100 students to MLES’s current total capacity of approximately 67,200 students (inclusive of Kingsley Edugroup), bringing the enlarged group total student capacity to over 71,300, an increase of 6%. The total student enrolment will increase by approximately 3,500 to 47,000, an increase of 8% (inclusive of Kingsley Edugroup).
Chairman of MLES, Dr Sherman Jen, stated “The acquisition of CIS is an excellent fit with our strategy to grow internationally and gives MLES a base in the attractive international school sector in Singapore. Following the acquisition, overseas schools will generate approximately 30% of MLES’s total revenue. The combination of CIS and MLES will enhance the competitive position of the Group in the ASEAN region, and support MLES’s long-term growth and business prospects. In addition, MLES is developing its third campus in Singapore at Hillside, with a capacity for 800 students. We are excited to welcome CIS to our growing family of schools.”
Founded in 1990, CIS is a for profit premium international school in Singapore providing high quality education to expatriate and local students. Operating under the Canadian International School brand, CIS delivers the International Baccalaureate (“IB”) curriculum to Nursery/Pre-Kindergarten up to grade 12 students, with approximately 3,500 students across two campuses with best-in-class facilities and large outdoor spaces, which are undergoing expansion.
CIS’ students consistently achieve strong IB Diploma Programme results with pass rates and average scores that are significantly above the global average. It is a fully accredited education institution by IB World School, Edutrust and Western Association of Schools and Colleges. CIS is well known for its culturally diverse community represented by over 74 nations across its students and faculty staff, and its highly acclaimed bilingual English/ Chinese program where students are fully immersed culturally and taught by qualified native speakers who are also IB trained.
About China Maple Leaf Educational Systems Limited
MLES was established in 1995 in Dalian, China. It operates the largest network of private international schools in the PRC. As of March 31, 2020, MLES operates over 100 schools including high schools, middle schools, elementary schools, preschools and foreign national schools located in China, Australia, Canada and Malaysia with more than 43,500 students enrolled in total.
For more information view Investor Presentation.