EFG Hermes Launches $300 Million Saudi Education Fund
Deal News | Nov 18, 2024 | Zawya
EFG Hermes, a leading investment bank in the Middle East and North Africa, has launched a $300 million Saudi Education Fund (SEF) with the aim of establishing a high-quality K-12 education operator in Saudi Arabia. The fund plans to acquire international schools from GFH Financial Group under the Britus Education brand, marking its inaugural investment in the GCC region. The acquisition includes four schools in Saudi Arabia, two in the UAE, and one in Bahrain, catering to nearly 8,000 students out of a 12,000 student capacity. This launch is part of EFG Hermes' strategy to leverage its successful Egypt Education Platform model and expand its educational footprint in line with Saudi Arabia's Vision 2030. GFH Financial Group, with assets exceeding $21 billion, partners in this initiative. The transaction, advised by PwC Middle East and White & Case, awaits regulatory approval.
Sectors
- Education
- Investment Banking
- Private Equity
Geography
- Saudi Arabia – The focus of the newly launched fund is on developing K-12 educational infrastructure within Saudi Arabia.
- GCC – The acquisition involves schools located across the Gulf Cooperation Council region, including Kuwait, UAE, and Bahrain.
Industry
- Education – The article discusses the expansion of K-12 education services in Saudi Arabia and the acquisition of schools, aligning with the growth of the education sector in the region.
- Investment Banking – EFG Hermes is a leading investment bank in MENA, and the article highlights its role in establishing a major educational fund, a strategic investment move.
- Private Equity – EFG Hermes is utilizing its private equity division to launch the Saudi Education Fund, aiming to drive growth in the education sector.
Financials
- 300,000,000 – The capital amount for the Saudi Education Fund launched by EFG Hermes.
- 21,000,000,000 – Assets and funds under management by GFH Financial Group.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| EFG Hermes | Buyer | Company | A leading investment bank in MENA, launching the Saudi Education Fund. |
| GFH Financial Group | Seller | Company | A financial group in the GCC, selling a portfolio of schools to EFG Hermes. |
| Britus Education | Target | Company | A distinctive school brand owned by GFH, being acquired by EFG Hermes. |
| PwC Middle East | Financial and Tax Advisor | Company | Advising SEF on financial and tax matters related to the transaction. |
| White & Case | Legal Advisor | Company | Providing legal counsel for the transaction. |