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23/07/2015 08:30
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ASSET: IQE: IQE - Intueri Education acquires NZ Institute of Sport
NZX RELEASE
23 July 2015
Intueri Education acquires NZ Institute of Sport (NZIS)
Intueri Education today announces that it has further increased its scale and
diversity with the acquisition of the New Zealand Institute of Sport (NZIS).
NZIS has been a unique feature of the vocational training landscape in New
Zealand for almost 20 years offering a diverse range of tertiary programmes
for those pursuing careers in the sport, fitness and recreation sectors.
The acquisition includes The New Zealand College of Massage (NZCM), regarded
as New Zealand's leading tertiary massage therapy provider, offering a range
of bodywork therapies at certificate and diploma level. NZCM is a subsidiary
of NZIS and is one of only two providers to offer a Bachelor's Degree level
Massage Therapy programme.
The purchase price, for 100% of the shares in NZIS and NZCM, will be 5.5
times expected 2016 EBITDA. 2016 EBITDA is forecast to be approximately
NZD$3.5m, which would equate to a total consideration of NZD$19.25m. An
initial payment of NZD$17.6m, funded from Intueri's current debt facilities,
will be made upon completion of the acquisition, followed by a potential
interim payment in March 2016 and a final reconciliation payment in March
2017.
Completion is conditional on regulatory and other customary approvals,
including Overseas Investment Office approval relating to leased premises in
Christchurch. It is anticipated that these approvals will be received by
October.
With almost 1000 students enrolling each year, NZIS and NZCM have a
reputation for delivering engaging, quality-focussed programmes with
successful employment outcomes. This boosts the number of Intueri students
to more than 13000 and the number of Colleges across Australasia to 11.
Intueri CEO Rob Facer says NZIS' significant scale in the sports and
complementary health sectors, along with its experience and achievements in
the Maori and Pasifika communities are particular strengths.
"NZIS' engagement in this area has been extremely successful and we certainly
aim to use their model to help refine our strategies across this key
demographic.
"Broadening the range and quality of our course provision forms the basis of
our growth strategy. The ability to offer sports-based programmes will offer
significant opportunities to further increase our international student
numbers. We are delighted to welcome NZIS as a NZQA Category 1 provider to
the Intueri Group."
NZIS Founder and CEO, John Fiso, says becoming part of New Zealand's largest
group of private training providers is another significant milestone.
"Intueri's focus on quality is a big draw card for us and our two
organisations share a similar values structure. I am looking forward to
working with the Intueri management team as well as with the other schools
that form part of the Group."
Mr Fiso will remain in his current role from completion, with the expectation
that he will take on additional executive leadership responsibilities within
the Intueri Group during 2016. All key senior staff are expected to stay on
in their current roles.
Intueri is a New Zealand headquartered group of private training
establishments delivering vocational education to students in New Zealand,
Australia and from around the world. Intueri is dual listed on the NZ and
Australian stock exchanges under the code IQE.
-ends-
For queries, please contact:
Rob Facer, CEO +64 (0) 27 675 3538
[email protected]
End CA:00267305 For:IQE Type:ASSET Time:2015-07-23 08:30:08