Amanat acquires assets from North London Collegiate School
Amanat Holdings, an investment company focused on health care and education, yesterday said it acquired the real estate assets of North London Collegiate School (NLCS) in Dubai, in a sale-and-leaseback deal worth Dh360 million.
Amanat purchased the assets from PNC Investments, the parent company of real estate developer Sobha Group, Amanat said in a statement to Dubai Financial Market, where its shares are traded.
Amanat has also committed Dh45m towards the future expansion plans of the school, it said.
“This acquisition is in line with our corporate strategy to broaden our capabilities while building on Amanat’s strong sector expertise in health care and education,” said Hamad Alshamsi, chairman of Amanat.
“It is the first social infrastructure transaction for Amanat and we are confident it will allow us to enhance returns for shareholders.”
NLCS is an international day school in Edgware, London, that follows the Baccalaureate curriculum. NLCS Dubai is its second overseas campus, located on a 38,000 square metre plot in the Sobha Hartland development in Mohammed bin Rashid Al Maktoum City, close to Downtown Dubai.
The campus comprises eight science laboratories, a performing arts centre, sporting facilities including tennis courts, a cricket and rugby field and two indoor swimming pools.
Investment and private equity companies are increasingly targeting assets in the healthcare and education sectors – considered high-growth segments as the region’s population grows rapidly.
“Investing in the GCC’s K-12 private education market is highly attractive – especially in the UAE, where expatriate families, a young population and growing interest from middle and higher-income citizens are expected to increase demand for private school enrolment,” Shamsheer Vayalil, vice chairman and managing director of Amanat, said in the statement.
“By entering into a sale and leaseback of NLCS Dubai, Amanat is investing in a high-quality asset that will generate long-term, secure cash flows and balance our portfolio across a diverse range of asset classes.”
Amanat’s portfolio is about equally split between the healthcare and education sectors, with approximately half of those investments in Saudi Arabia and the rest in the UAE.
In April, the company announced its intention to grow its investment activities in education and health care, with plans to expand its footprint beyond the Arabian Gulf after posting a 10 per cent increase in full-year 2017 net profit in February, boosted by income from associated businesses.
On Sunday, Amanat agreed to purchase ailing private equity firm Abraaj Group’s stake in Middlesex University’s Dubai campus for a reported $100m (Dh367m), according to a Bloomberg report.
Abraaj is undergoing a court-supervised restructuring in the Cayman Islands, where it is registered.
Under an initial agreement between the two parties, which is yet to complete, Amanat would own all of the university’s UK-based campuses.