EQT to acquire Spain’s Universidad Europea for over €2bn

EQT has agreed to acquire a majority stake in Spain’s Universidad Europea from private equity firm Permira, in a deal that sources said valued the higher education group at more than 2 billion euros ($2.2 billion) including debt.

The buyout groups announced the deal on Monday. It will see Permira retain a minority holding in the business.
The deal represents EQT’s first-ever investment in education made through its infrastructure arm.
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“We look at education as an emerging infrastructure investment theme,” Anna Sundell, a partner within EQT’s Value-Add Infrastructure Advisory team, said in an interview.
The deal comes as buyout groups prepare to sell stakes in companies after two years of muted activity, taking advantage of improving market conditions and with pressure mounting to return capital to their funders.

It follows the sale last month of Permira-backed fund administrator Alter Domus at an valuation of 4.9 billion euros.

Permira invested in Universidad Europea in 2019 to fund the university group’s expansion as part of growing investor interest in education groups in Spain and Portugal.
It is expected to generate returns of close to five times its initial investment through the stake sale, a source close to the transaction said.

For its part, EQT said it aims to improve Universidad Europea’s online offering and draw upon its international expertise to support the university in establishing campuses in new regions.

Source: Reuters

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