EFG Hermes, an EFG Holding company, and the leading Investment Bank in MENA, announced today that its private equity arm has launched a USD 300mn Saudi Education Fund (“SEF”) with the target of building an institutional world-class K-12 operator in the Kingdom of Saudi Arabia. SEF aims to capitalize on the clear market opportunity that is evidenced by the growing student population in private schools, which is expected to more than double in line with Saudi’s 2030 vision targets and the critical need for strong operators to cater to such growing demand.
EFG Hermes also announced that SEF has entered into definitive agreements with GFH Financial Group (“GFH”), a leading and dynamic financial group in the GCC, to acquire a portfolio of international schools owned by private equity funds managed by GFH under the brand name of Britus Education. This portfolio includes four schools in Saudi Arabia, two in the UAE, and one in Bahrain, boasting a total capacity of approximately 12,000 students, with nearly 8,000 students currently enrolled.
“Britus Education represents a distinctive and innovative school brand and platform across the GCC, offering a transformative educational experience. GFH is proud to partner with EFG Hermes to leverage its extensive track record in the education sector and to continue the growth of Britus to new heights. Building on EFG Hermes’ solid success and experience in managing a model educational fund in Egypt, together, we strive to enhance access to high-quality education, and foster excellence by providing the best learning experiences to students,” said Khaldoun Haj Hasan, Chief Executive Officer of GFH Equities.
“I am thrilled to announce that our Saudi Education Fund has made its inaugural investment in the Kingdom of Saudi Arabia and the broader GCC region with the acquisition of a substantial and diversified portfolio,” stated Karim Moussa, Co-CEO of EFG Hermes. “Drawing on the expertise and insights we’ve gained over the past five years while establishing Egypt’s premier K-12 operator, EEP, we are poised to deliver exceptional educational services to our new student populations. Through this investment, we are committed to ensuring that Britus Education flourishes and adapts to the dynamic needs of students and communities throughout the region.”
Egypt Education Platform (“EEP”) was launched under EFG Hermes’ first education fund back in 2018, and since then, the company acquired, developed, and successfully integrated a uniquely diversified portfolio of 25 assets spreading across Egypt and comprising (i) 23 schools and pre-schools offering 5 curricula (American, British, IB, Montessori and Egyptian National curriculum) with a combined capacity of c.25k students, (ii) an education content business that serves between 3-4mn students annually (“Selah El Telmeez”), and (iii) a specialized transportation business that transports over 3k students daily (“Option Travel”).
The transaction is subject to certain conditions and regulatory approvals. PwC Middle East served as financial and tax advisor to SEF and White & Case as legal counsel.
About GFH Financial Group
GFH Financial Group is one of the most recognized financial groups in the Gulf region. Its businesses include Investment Management, Commercial Banking and Treasury & Proprietary Investments, with assets and funds under management exceeding US$21 billion dollars. The Group’s operations are principally focused across the GCC, North Africa and India, along with strategic investment in the U.S., Europe and the U.K. GFH is listed in Bahrain Bourse, Abu Dhabi Securities Exchange, Boursa Kuwait and Dubai Financial Market. For more information, please visit www.gfh.com.
About EFG Holding
EFG Holding (EGX: HRHO.CA – LSE: EFGD) is a trailblazing financial institution that boasts a remarkable 40-year legacy of success in eight countries spanning two continents. Operating within three distinct verticals — the Investment Bank (EFG Hermes), Non-Bank Financial Institutions (NBFI) (EFG Finance), and Commercial Bank (Bank NXT) — the company provides a comprehensive range of groundbreaking financial products and services tailored to meet the needs of a diverse clientele, including individual clients and businesses of all sizes. EFG Hermes, the leading investment bank in the Middle East and North Africa (MENA), offers an extensive array of financial services, encompassing advisory, asset management, securities brokerage, research, and private equity. In its domestic market, EFG Holding serves as a universal bank, with EFG Finance emerging as the fastest-growing NBFI platform, comprising Tanmeyah, a small and microfinance player, EFG Corp-Solutions, which provides leasing and factoring services, Valu, a universal financial technology powerhouse, PayTabs Egypt, a digital payment platform, as well as Bedaya for mortgage finance and Kaf for insurance as well as Fatura, a technology-backed B2B marketplace. Furthermore, the company delivers commercial banking solutions through Bank NXT, a leading provider of integrated retail, corporate, and Islamic banking products in Egypt.
