GEMS Education May Buy Stake in Egyptian Schools

GEMS Education, was founded as Global Education Management Systems. It is an international education company. It is also a global advisory and educational management firm, and is the largest operator of kindergarten-to-grade-12 schools in the world, with a network of over 70 schools in over a dozen countries.

GEMS Education found its origin in a family tutoring business in Dubai. It was started by Indian-born teachers K.S. and Mariama Varkey in the year 1959. After creating a strong network of schools in the Gulf Arab states, in the year 2000 Varkey founded the Global Education Management Systems (GEMS). In 2012 GEMS Education received the School of Educators Global Education Awards' Lifetime Achievement Award for Global School Education. In the same year, it was also named Education Company of the Year at the Gulf Business Industry Awards, and it also received that same award in 2013. On December 31, 2018, GEMS Education announced that it has used its option to buy a 50 percent stake in four of the schools in Egypt. It further stated that it has been in the business of managing schools from early this year. The four national and British curriculum schools, located in Rehab City and Madinaty, include The British International School Madinaty (BISM), two branches of Madinaty Integrated Language Schools (MILS) and The British School Al-Rehab (TBS). GEMS Education is planning to enter into a 50/50 joint venture with EFG Hermes. EFG Hermes Holding S.A.E. is an Egyptian investment bank situated in the Middle East and North Africa region. It specializes in securities brokerage, asset management, investment banking, private equity and research. Dino Varkey, CEO of GEMS Education commented that their plans of expansion come close on the heels of their consolidation within the UAE market which has been their home base for last six decades. He stated that they committed towards growth in the Egyptian market in accordance with the terms and conditions of their joint venture. They wish to build up strong partnership with EFG Hermes. They are filled with excitement, joy and new hopes and wish to achieve success and greater heights in this New Year 2019. They have experience of over 60 years in the field of education which is like a box of opportunities for students and teachers both. Karim Moussa, who is the head of asset management and private equity at EFG Hermes stated that the exercise of GEMS’ call option puts forth the right structure in place for their future partnership. They look forward to leave a mark together in the field of education.

By: Anuja Arora

Content: https://www.arabianbusiness.com/education/410288-dubais-gems-exercises-option-to-buy-stake-in-egyptian-schools