8/4/2019 – SGX-listed MindChamps Preschool Limited, through its wholly-owned subsidiary has entered into an agreement to buy eight early learning centers in Sydney from the Malek Family for A$40.84 million (about US$29 million).
The eight early learning centers are located in the suburbs of Sydney, including Mascot, Parramatta, Albion Park, West Hoxton, Kemps Creek, and Shellharbour.
According to MindChamps, the purchase consideration for the acquisition will be satisfied from a combination of cash from MindChamp’s initial public offering proceeds and an acquisition loan, which is to be paid upon completion of the share purchase agreement.
With this acquisition, the total number of MindChamps early learning centers in Australia will reach 20, significantly strengthening the brand’s presence there.
The acquisition is also expected to have a significant positive impact on MindChamps group earnings per share for the financial year ending December 31, 2019.
In total, there will be 82 MindChamps preschool and enrichment centers across Singapore, Australia, Myanmar, Vietnam, Abu Dhabi, and the Philippines.
“MindChamps began as a research team in Sydney in 1998, and now, having proven the success of our breakthrough early childhood education model, I am proud to be able to bring it back to Australia, where it first began, to make a difference to the development of young minds here,” said MindChamps Founder and CEO, David Chiem.
MindChamps is backed by Singapore Press Holdings, which owns about 26.8 percent equity in the preschool learning center operator. Moving forward, MindChamps is said to be expanding its business to Malaysia and China.
The preschool education operator had already set up a US$200 million joint venture fund last February with Hong Kong-listed full-stack education industry chain China First Capital Group to establish and acquired preschool centers under the MindChamps brand in China.
In July, MindChamps also signed an MOU with Keppel Corporation asset management arm Keppel Capital to establish an education-focused real estate fund worth S$200 million (about US$147.5 million).