EFG Hermes acquires TMG’s schools for LE1B

CAIRO – 28 May 2018: EFG Hermes announced on Monday signing an agreement with Talaat Moustafa Group Holding (TMG Holding) to acquire a portfolio of schools in an LE 1 billion ($55.75 million) investment.

The company clarified that GEMS Education will take over the exclusive operatorship and management of four new schools in the cities of Madinaty and Al Rehab in Egypt, as a part of a strategic alliance to develop and operate new national and international schools.

“We are proud to be part of such a strategic alliance, which falls in line with our strategy to continuously improve the level of services offered to our growing communities in Madinaty and Al Rehab,” CEO of TMG Holding Hesham Talaat Moustafa said.

“We are always trying to bring the best-in-class service providers to our potential 1 million residents in both cities and the new alliance with EFG Hermes and GEMS Education is a strong testament to our commitment to such targets,” he added.

For his part, Chief Executive Officer at GEMS Education Dino Varkey said that GEMS Education is committed to providing quality education throughout its network of schools.

“This joint venture allows us to bring more than 50 years of educational excellence to Egypt. Students will be able to benefit from our global experience, coupled with access to an extensive network which offers multiple opportunities for the future,” Varkey added.

The statement also added that the equity component of this transaction will be financed by EFG Hermes on its own balance sheet under its merchant banking strategy.

EFG Hermes’ consolidated profit marked an increase of 6 percent on a year-on-year basis during the first quarter of 2018, recording LE 249 million after tax and minority interest.

EFG Hermes is a public company, listed on the Egyptian Exchange (EGX) since February 1999.

It operates within the diversified financial sector, focusing on investment banking and brokerage. It has 36 subsidiaries operating across the Caribbean, Northern Africa, and the Middle East. EFG Hermes is based in 6th October, Egypt and was established in January 1984.