Educomp, EuroKids enter strategic partnership

NEW DELHI,INDIA: Educomp Solutions Ltd., a provider in education process outsourcing (EPO), today announced that they have entered into a 50-50 strategic partnership with EuroKids International Private Limited, a provider in pre-school education.

The agreement would include the purchase of existing company shares as well as an infusion of additional capital into EuroKids for future expansion. It also holds a provision for ESL to increase its stake in stages to 74 per cent over a period of time.

The release reported that ESL would invest Rs. 39 crore to acquire a 50 per cent stake and has planned to build a network of 1000 pre-schools in India

Uday Mathur, managing director, EuroKids International Private Limited, said, “Progressively more parents In India understand the need of “Early child care and education” and this segment is growing very rapidly in India. Our partnership with Educomp Solutions will provide our combined resource pool, an opportunity to bring in the best teaching aids and solutions to children across the country.”

Shantanu Prakash, Managing Director, Educomp Solutions Limited, said, “Educomp has made a strategic investment in EuroKids to leverage the company’s established presence in early child care education. We see immense potential in the early child care education market in India that is highly under served. The EuroKids Group is one of the largest companies in this space and has an excellent reputation for quality.”

He added that their partnership would enable EuroKids to accelerate its growth process and together intend build an institution of exceptional quality.

The release mentioned that the partnership would expand the combined revenue base and create an entity with significantly greater financial scale and resources.