In line with its strategy, China Maple Leaf Educational Systems Ltd. (“MLES” or the “Company”), today announced the proposed acquisition of Canadian International School Pte. Ltd. (“CIS”), a leading premium international school in Singapore, for SGD 680 million.
MLES will acquire 100% of CIS for a total purchase consideration of SGD 680 million, including the settlement of the existing bank debt and the share consideration, payable in two tranches: (i) upon completion of the acquisition of a 90% shareholding in CIS; and (ii) upon acquisition of the remaining 10% shareholding after the close of the academic year ending in July 2022, based on an agreed pricing formula. Expected completion is in Q3 2020, subject to MLES shareholders and regulatory approval.
Upon completion of the transaction, CIS will add a capacity of 4,100 students to MLESs current total capacity of approximately 67,200 students (inclusive of Kingsley Edugroup), bringing the enlarged group total student capacity to over 71,300, an increase of 6%. The total student enrolment will increase by approximately 3,500 to 47,000, an increase of 8% (inclusive of Kingsley Edugroup).
Chairman of MLES, Dr Sherman Jen, stated The acquisition of CIS is an excellent fit with our strategy to grow internationally and gives MLES a base in the attractive international school sector in Singapore. Following the acquisition, overseas schools will generate approximately 30% of MLESs total revenue. The combination of CIS and MLES will enhance the competitive position of the Group in the ASEAN region, and support MLESs long-term growth and business prospects. In addition, MLES is developing its third campus in Singapore at Hillside, with a capacity for 800 students. We are excited to welcome CIS to our growing family of schools.
Founded in 1990, CIS is a for profit premium international school in Singapore providing high quality education to expatriate and local students. Operating under the Canadian International School brand, CIS delivers the International Baccalaureate (“IB”) curriculum to Nursery/Pre-Kindergarten up to grade 12 students, with approximately 3,500 students across two campuses with best-in-class facilities and large outdoor spaces, which are undergoing expansion.
CIS students consistently achieve strong IB Diploma Programme results with pass rates and average scores that are significantly above the global average. It is a fully accredited education institution by IB World School, Edutrust and Western Association of Schools and Colleges. CIS is well known for its culturally diverse community represented by over 74 nations across its students and faculty staff, and its highly acclaimed bilingual English/ Chinese program where students are fully immersed culturally and taught by qualified native speakers who are also IB trained.
MLES was established in 1995 in Dalian, China. It operates the largest network of private international schools in the PRC. As of March 31, 2020, MLES operates over 100 schools including high schools, middle schools, elementary schools, preschools and foreign national schools located in China, Australia, Canada and Malaysia with more than 43,500 students enrolled in total.
For more information view Investor Presentation.
Hong Kong, 29 January 2020 – The Board of Directors of China Maple Leaf Educational Systems Limited (MLE or the Company, stock code: 1317.HK) is pleased to announce a voluntary conditional general cash offer to acquire all the shares of GEM-listed Kingsley Edugroup Limited (Kingsley, stock code 8105.HK) at a price of HK$0.54 per share. This acquisition is part of MLEs international expansion plan.
Kingsley owns and operates a school in Kuala Lumpur, Malaysia, offering K-12 education to local and international students. The school, which as of this month has more than 1000 students and a physical capacity of 2,600, was opened in 2011, moved to its current location in 2015 and completed a major physical expansion plan in 2019. It has dormitory spaces for more than 800 students.
Should the offer to Kingsley shareholders be accepted, MLE will prioritize profitability through offering its high-quality international K-12 program to students from Malaysia, Singapore and other South East Asian countries. In addition to adding A-level and other advanced courses at the high school level, we will introduce our Mapleleaf Chinese as Secondary Language (CSL) curriculum, as co-developed and approved by China’s Confucius Institute. Aside from its K-12 programs, Kingsley currently offers some post-secondary educational services, which MLE intends to deregister.
Aside from planned curriculum enhancements and the deregistration of its tertiary services, MLE has no intention to introduce any significant changes to the existing operations and management of the Kingsley Group.
Kingsley owns two buildings and the free hold land associated with them. With a total floor area of 94,000 sqm, one is a 10-story building and another a 2-tower hostel of 13 and 15 stories. The schools state-of-the-art facilities include a fully-equipped cafeteria, an indoor swimming pool, an Olympic size outdoor swimming pool, two libraries, a gymnasium and several multipurpose rooms and halls. The dormitory area covers 49,518 sqm which can host more than 800 boarding students. These assets are currently valued at more than HK$400M.
Kuala Lumpur is ideal for MLE expansion. Demand for high quality international education is growing both from the local community and expatriates working for the increasing number of multinational companies operating in Malaysia, including Nestle, Hewlett Packard, KPMG and Huawei. With Malaysias position as one of the key trading partners of China and a key part of the latters Belt and Road Initiative (BRI), Kuala Lumpur has tremendous potential as a Southeast Asian international education hub, benefiting not only from Malaysian growth and development but also from growth in other ASEAN countries and throughout the region.
On track with the companys Sixth Five-Year Plan, MLE will continue its expansion internationally. Within the Asia Pacific region, the acquisition of Kingsley will give MLE its first operating school in the region, with a second coming in due course at the Singapore school campus it acquired in 2016, currently under external lease. We have confidence that operating Asia Pacific region schools as a group will bring synergy in management and utilization of our curriculum development resources in China and Canada. The Board strongly believes that MLEs twenty-five years of school operating experience and its globally-recognized international curriculum will provide great international education in the Asia Pacific region and complement Chinas BRI plan. Moving forward, MLE will continue to explore the establishment or acquisition of more high-quality international schools in this region and beyond.
Feel free to visit Kingsley International School in 360 View.
On Monday 11 February 2019 MLS-UniSA welcomed its first students in Grades 10, 11 and 12. In doing so we became the first Maple Leaf School in the Southern Hemisphere!
Located within the Mawson Lakes Campus of the University of South Australia in beautiful Adelaide, we offer the South Australian Certificate of Education and students are also able to study the Maple Leaf Chinese Diploma. Our affiliation with the University is flourishing and we already have engagement with Information Technology, Science and Mathematics faculties. Students have access to well-equipped classrooms and other specialist facilities within the University.
Our multinational staff team come from Australia, Canada, China, and New Zealand and they are well equipped to deliver a global education to a range of international students.
Students all live with Australian residents in a homestay arrangement and this supports the development of their English language skills.
As we near the end of our orientation program students are beginning to engage in their academic courses.
Our official opening will take place in June.
March 27, 2018 – Maple Leaf Education Asia Pacific Limited (“Maple Leaf”), a company wholly owned by China Maple Leaf Educational Systems Limited, signed an agreement today with the University of South Australia (“UniSA”) to open an English-Mandarin bilingual school on the Mawson Lakes Campus of UniSA in Adelaide, Australia.
Maple Leaf School - University of South Australia (MLS-UniSA), will be the first high school in Adelaide established by a Chinese education group. The School will offer a bilingual English-Mandarin curriculum for senior high school students in grades 10-12. It is expected to open in February 2019 with approximately 60 to 75 students.
China Maple Leaf Educational Systems Limited opened its first school in 1995 and has grown to become the largest operator of international schools in China Maple Leaf established its first bilingual university School at Thompson Rivers University, Kamloops, Canada in 2016. In September 2017, Maple Leaf opened its second at Kwantlen Polytechnic University's campus in Richmond, Vancouver, Canada. Maple Leaf is the largest operator of international schools certified by the British Columbia Ministry of Education. Maple Leaf Educational Systems and all its high schools are also accredited by AdvancEd, the largest school accreditation agency in the United States of America and in the world.
Dr. Sherman Jen, Founder, Chairman and Chief Executive Officer of Maple Leaf, said: “China Maple Leaf is delighted to be opening its first high school in Australia at the University of South Australia. An increasing number of our students are choosing Australian universities for their higher education. The University of South Australia is an excellent partner for us, as one of the top 50 universities in the world under 50 years old. We admire their high educational standards, their internationalism, and their pioneering spirit.”
Nigel Relph, Deputy Vice-Chancellor of The University of South Australia, stated: “The University of South Australia is pleased to welcome Maple Leaf as partners on our campus. Maple Leaf’s network will provide broad opportunities for our Education students for classroom observation, research, practicum experience, and in future international work opportunities for our Bachelor of Education graduates. The Maple Leaf School will provide first-hand experience for the students of UNISA to observe a bilingual school, opening up new opportunities for UNISA to analyze these programs and to be pioneers in the study of bilingual education. We also look forward to the increased profile that Maple Leaf can provide for UNISA in China, raising awareness of our young university in the world’s largest country for international students.”