HEADLINES:
December 09 2019
Cox & Kings sells education business for ₹ 4378 crore
28 October 2018

The travel company sells business to Midlothian Capital Partners, a leading UK-based investor

Travel company Cox & Kings Ltd. (C&K), has entered into an agreement to sell its education business to Midlothian Capital Partners (MCP), a leading UK-based investor for an all-cash enterprise value of GBP 467 million (₹.4,387 crore).

The transaction is subject to regulatory approvals, consents and customary closing adjustments.

The education business is comprised of HB Education Ltd (formerly known as Holidaybreak Education Ltd) which is a wholly owned subsidiary of Holidaybreak Ltd.

“The sale is in line with C&K's stated goal of unlocking value and maximizing shareholder returns,” C&K said in a statement.

HB Education Ltd provides experiential learning programmes for students, through Residential Activity Centres and Educational Travel Tours. Its programmes are curriculum-linked and enable teachers to reinforce students' knowledge and understanding as well as develop students' resilience, confidence and interpersonal skills.

The Company's portfolio of brands including PGL, NST, EST, Travelworks and Studylink provide learning experiences for school students aged 7 through 18, and up to university.

Peter Kerkar, Group CEO, C&K, said, "Since C&K's successful acquisition of Holidaybreak in 2011, the business with the strategic direction of C&K has scaled larger heights. Over the years we have made efforts to maximize shareholder value by divesting some parts of the business, reduce debt and focus on high growth asset light businesses.”

“This is in line with our stated policy of consistently unlocking value in the company and we shall aggressively continue to follow our stated policy,” he added.

Neil Currie, Andrew Bracey and Aidan Clegg, Founding Partners at Midlothian Capital Partners, said, "HB Education is an industry-leading operator within both the residential outdoor activity and

educational travel sectors. We are proud to be part of the next phase of the company's growth, both in the UK and internationally.

“We would like to thank Cox & Kings and its advisory team for a smooth and professional process. They have been excellent owners of the company and we look forward to continuing our relationship as we complete the transaction.”

Post sale of the education business, C&K will continue to operate in the Leisure and Hybrid Hotels segments.

 

 

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