CVC Capital Partners said on Thursday it had sold Chinese education counsellor Education International Corporation (EIC) as more Chinese students enrol at overseas institutions.
CVC sold the firm to a consortium led by NLD Investment, a Chinese private equity fund, in partnership with the management and the founder of EIC. Financial details of the transaction were not disclosed.
CVC decided on a sale to another fund rather than conduct an IPO in Hong Kong.
EIC is China’s largest overseas educational counselling service provider, with a 13% national market share. Since its inception in 2000 EIC has placed over 120,000 students to overseas education institutions. In 2014, EIC helped over 18,500 students enrol at an overseas education institution, of which approximately 45% enrolled at one of the top 50 globally ranked universities.
Since the initial investment in December 2013 from Asia Fund III, CVC has helped strengthen the management team with key senior hires, including the appointment of Isa Wong, a 20 year education industry veteran from Pearson, as CEO in 2014.
In the same year, CVC also led the strategic acquisition of New Pathway, a US-focused test preparation and college counselling company with a strong online technology platform. This enhanced EIC’s US market position and gained the company an immediate presence in the online and mobile space.
Hans Wang, Partner at CVC in Hong Kong, said: “EIC is now well positioned to capture future opportunities in the rapidly expanding overseas education industry.”