ASX-listed Navitas buys Christchurch College of English
Australian-based Navitas has an agreement to buy the Christchurch College of English for $5 million.
Christchurch College of English was set up in 1991 as a private education provider for overseas students and is based at the University of Canterbury and has a campus in central Auckland.
The company is owned by Christchurch businessman Rob McKay.
Navitas has 120 colleges in 31 countries and earned revenue of $955m providing profit after tax of $80m this year.
The acquisition is subject to obtaining customary regulatory approvals, and a satisfactory outcome of a periodic audit by the New Zealand Qualifications Authority, which are both expected by December 2017.
Christchurch College of English is the University of Canterbury's official on-campus English language provider and caters to about 350 students, including its Auckland campus.
It offers general English, business English, IELTS and Cambridge exam preparation, and English for academic purposes.
There is also information about immigration procedures on the Christchurch College of English web site.
The industry suffered a 37 per cent decline in 2012, largely because of the 2011 earthquakes, but recovered partly thanks to new rules allowing students to work part time to supplement incomes.
Since 2013 Christchurch College of English has been the sole English language provider for UC International College (UCIC), which is a Navitas initiative with the University of Canterbury to help international students adapt to living and studying in a new country.
UCIC students have full access to University of Canterbury facilities and services such as libraries, computer laboratories, recreation facilities, on-campus accommodation, health services and career services.
The aim is to make them feel like a University of Canterbury student as quickly as possible.
They undertake a programme that is moderated by the university.
Navitas chief executive Rod Jones said Christchurch College of English had a strong reputation with the highest possible quality rating from the New Zealand Qualifications Authority.
"This acquisition allows Navitas to increase the depth of our offering to our partner university while also expanding our footprint in the key international education destination of New Zealand," Jones said.
Stewart Brougham, principal of UCIC, said the acquisition would provide a seamless pathway for international students looking to move from English language training to foundation studies.
"The integration of Christchurch College of English operations also creates the opportunity for us to develop new education services outside Christchurch."
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