MUMBAI: Eurokids, backed by US private equity giant KKR & Co, is in advanced negotiations to buy Nasik-based international school Farvashi Academy for about Rs 227 crore ($30 million), as India’s largest School chain plans aggressive expansion even during Covid-19 pandemic.
The transaction includes acquisition of three operating institutions in Nasik. If successful, the deal will mark third acquisition of Eurokids within a span of one year after private equity firm KKR took control over the firm last year.
When contacted, spokespersons for KKR and Eurokids declined to comment, while Farvashi Academy did not respond to an email seeking comments till press time.
Established in 1978, the Farveshi runs three educational institutions in Nasik, including an international school that follows Cambridge curriculam. The school is spread over 39.2 acres of land in Nasik. R. S. Luth Education Trust runs the schools currently.
Eurokids is one of India’s leading educational services providers in the preschool and kindergarten to K-12 segments. Its portfolio brands, including EuroKids, EuroKids DayCare, Kangaroo Kids, EuroSchool and Billabong International, serve more than 120,000 students from 1,115 preschools and 35 K-12 schools across five countries.
New York-based investment firm KKR acquired 92 percent in Eurokids’ India franchise from existing investor Gaja Capital and some other investors in September last year for as much as Rs 1200 crore. In November, Eurokids acquired Asia’s largest preschool chain Kidzee from Zee Learn.
India has earmarked Rs 99,300 crore for education sector in 2020-21 and about Rs 3,000 crore for skill development. Finance minister Nirmala Sitharaman said in her budget speech that the step to open up the education sector to ECBs and FDI would help to “deliver higher quality education”.