KUALA LUMPUR: SMRT Holdings Bhd’s subsidiary, Strategic Ambience Sdn Bhd (SASB) and Creador II LLC’s unit, Arenga Pinnata Sdn Bhd (APSB), are finalising plans to acquire a 30.75 stake in Masterskill Education Bhd for RM122 million.
Creador Founder and Chief Executive Officer Brahmal Vasudevan said the acquisition is expected to be completed by end-March 2015.
“Following the acquisition of the 30.75 per cent stake, and the 19.26 per cent that Creador currently holds, we will be the controlling power in Masterskill.
“Within 12 months, we will make the business break even and grow it further,” he told reporters at the sales agreement signing ceremony here today.
Masterskill returned to the black after registering a pre-tax profit of RM6.343 million in the third quarter ended Sept 30, 2014 from a loss of RM104.436 million in 2013.
Revenue fell to RM8.680 million from the RM15.556 million recorded previously.
Under the sales agreement, APSB will acquire 7.75 per cent of shares held by Masterskill Executive Director Siva Kumar Jeyapalan, with the remaining 23 per cent taken up by SASB.
SMRT Chairman and Chief Executive Officer Datuk R Palan said Masterskill will undergo a rebranding process and will be known as Asiamet Education Group Bhd.
“We also intend to maintain the listing status of the company on the Ace Market and within three to six months, we see ourselves transferring to the main board.
“SMRT successfully turned around Cyberjaya University College of Medical Sciences within a short period and we expect the similar scenario for Asiamet,” he added.
He also noted that there will be synergies between the two colleges, which will result in a lower operational cost base and more efficient operations.
“The synergies will help reduce the marketing cost to about 20 to 30 per cent,” R Palan said. -- BERNAMA