EQT Taps Banks for $15 Billion Exit of School Chain Nord Anglia

Nord Anglia’s owners have been interviewing banks as they prepare to study strategic options for the international school operator, people with knowledge of the matter said.

The company’s major shareholders, private equity firm EQT AB and Canada Pension Plan Investment Board, are weighing possibilities including a listing or sale, according to the people. They are considering seeking a valuation of around $15 billion for Nord Anglia, some of the people said.

EQT and CPPIB may kick off a process as soon as the coming months, the people said, asking not to be identified because the information is private. They have been considering New York as a potential listing venue, the people said.

There’s no certainty the deliberations will lead to a transaction, and details of the potential deal could change. Representatives for CPPIB, EQT and Nord Anglia declined to comment.

Private equity firms are ramping up sales of portfolio companies to return capital to investors amid a tough exit environment, with both mergers and acquisitions as well as initial public offerings proving tricky in a volatile market.

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Nord Anglia, founded in 1972, operates more than 80 international schools including boarding schools across Asia, Europe, the Middle East and the Americas, according to its website. It offers education from kindergarten to the end of secondary school.

Baring Private Equity Asia, which later became part of EQT, first invested in Nord Anglia in 2008. Nine years later, it teamed up with CPPIB to take the firm private in a $4.3 billion deal.

EQT is also considering selling Pioneer Corp. and seeking a valuation of about $1.5 billion for the iconic Japanese electronics maker, Bloomberg News reported in December.

Source: Yahoo Finance

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