VANCOUVER, BC / ACCESSWIRE / December 7, 2015 / CIBT Education Group Inc. ("CIBT") (TSX: MBA, OTCQX: MBAIF) is pleased to announce that it has signed a formal Purchase and Sale Agreement with a global education services provider to sell one of CIBT's education subsidiaries. This transaction is subject to certain regulatory approvals, receipt of which is expected to take approximately 3 months. Transaction funds are being held in escrow. Details of this transaction will be disclosed upon the formal closing which will follow receipt of the required regulatory approvals. During fiscal 2015, this subsidiary generated approximately $2.8 million revenue and $290,000 EBITDA, and had approximately 160 students.
"We are pleased with the attractive return on investment of this transaction and its future prospects. The purchaser possesses an expansive network of international colleges and universities around the world and is financially supported by institutional investors. We believe the purchaser will be able to take this subsidiary to new heights," commented Toby Chu, President and CEO, Vice Chairman of CIBT. "Proceeds from this transaction will be used to acquire undervalued schools at reasonable market prices. Customary to our operating model, CIBT will add value to the business and operations of the acquired schools, nurture the schools to become successful and then exit with significant gains. In addition, our focus will target schools with significant international student volume so that our education assets will continue to feed a pipeline of international students to our rapidly expanding student housing portfolio."
About CIBT Education Group:
CIBT Education Group Inc. is an education management company focused on the global education market since 1994. Listed in Canada on the Toronto Stock Exchange and in the U.S. on the OTCQX International, CIBT owns and operates a network of business, technical and language colleges in North America and Asia. CIBT offers cooperative joint programs in 12 countries with campuses, recruitment offices and training centers enrolling over 7,000 students annually. Its education business is operated through Sprott Shaw College (established in 1903), Acsenda School of Management, CIBT School of Business China, and Global Education Alliance Recruitment Centers in China and other overseas countries. Through these subsidiaries, CIBT offers recognized and approved business and management degrees, programs in college preparation, healthcare, hotel management and tourism, English language training, English Teacher Certifications, junior and high school preparation programs for overseas study, and other career/vocational training. CIBT also owns Irix Design Group, a leading design and advertising company based in Vancouver, Canada, Global Education Alliance ("GEA") and Global Education City Holdings Inc. ("GEC"). GEA recruits international students for many elite kindergarten, primary, secondary schools and universities in North America. GEC is an investment holding and management company with a special focus on education related real estate projects in Canada. Visit us online at www.cibt.net and watch our corporate video at http://cibt.net/about/.