Educomp Solutions on Tuesday said it had sold its entire 50 per cent stake in Eurokids International to a group of investors led by GPE India for an undisclosed sum.
“This transaction is an important milestone for the business transformation agenda that is currently underway,” Educomp Solutions Chairman and Managing Director Shantanu Prakash said in a statement on Tuesday.
Mr. Prakash said Educomp had made three times its original investment in Eurokids and had created significant value for its shareholders by making a profit of about Rs.70 crore. The education solutions provider is pursuing a business transformation agenda that seeks to focus on core businesses of digital content offerings and asset-backed offerings, the statement said.
Earlier in the year, Educomp had sought growth capital investment of Rs.22 crore in its internet education platform business Authorgen, from Kaizen PE and Bertelsmann. “The completion of the Eurokids transaction is the second milestone in our asset monetisation strategy. The proceeds from the transaction will be ploughed back into our core businesses as well as used to de-leverage our balance sheet,” the company said.
