The billionaire founder of PSG Group and Capitec Jannie Mouton has made an ambitious R7.2 billion buyout offer for listed private schools group Curro, through the Jannie Mouton Stigting (JMS), a public benefit organisation.
Its share price rocketed 52% in morning trade on Wednesday, following Curro’s Sens announcement.
Curro is South Africa’s largest private school group, and is reported to be educating over 71,000 learners across its national network of independent schools.
According to the firm announcement, the proposed offer includes a significant premium to Curro’s recent share price and remains subject to regulatory approvals and shareholder consent.
“Curro’s ability to maintain its earnings and generate more cash despite lower learner numbers demonstrates its robust financial discipline. In South Africa’s education sector, private schools are experiencing increased demand from parents seeking alternatives to public education, while economic pressures impact family budgets”. CEO Cobus Loubser said.
The Mouton Stigting trust said that the intention of the “trust is to contribute positively to South Africa by facilitating enhanced accessibility to quality education and to expand education outside the city boundaries to more remote areas in time”.
“The Trust has identified Curro as the ideal vehicle through which to achieve these objectives, given that it is already a reputable business and has a strong and forward-thinking management team”.
“Curro is a meaningful force for good and a lighthouse of academic excellence in South Africa, and the Trust is confident that it will scale that force for social good even further. The Curro group currently has approximately 85% black students”.
