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AlKhaleej Training and Education is getting a controlling stake in Adwaa Al Hidaya Schools: Al Khaleej Training and Education entered a share purchase agreement to acquire 1.6 mn shares — good for a 80% stake — of Adwaa Al Hidaya Private Schools for Boys and Girls through a share swap, it said in a disclosure to Tadawul yesterday. The transaction, valued at SAR 480 mn, is still subject to regulatory approvals.
Ironing out the details: The transaction sees Al Khaleej acquiring a controlling stake in the schools in exchange for the issuance of new shares in the company to the selling shareholders. This will bring Al Khaleej’s capital to SAR 880 mn through the issuance of 22.9 mn ordinary shares. The ownership of AlKhaleej’s current shareholders is set to decrease from a full 100% ownership to 74% upon the completion of the transaction.
Either party could still walk away from the transaction within nine months or as agreed if conditions aren’t met, according to the disclosure. The acquisition is subject to approvals from AlKhaleej’s shareholders, General Competition Authority (GAC), Capital Market Authority (CMA) and Tadawul.
About the parties: Founded in 1993, Al Khaleej Training and Education provides a diverse range of educational and training solutions to clients. It also operates international schools and kindergartens across the Kingdom. Adwaa Al Hidaya Schools for Boys and Girls were established in 2005 with two educational institutions under its ownership — Adwaa Al Hidaya in and the Regit Grammar School Riyadh (RSGR) in Riyadh. Both schools have a total of 5.1k students.
