White knight investor $2.5 billion Dubai-based Varkey Group?s Sunny Varkey and Sherly Varkey have declared an open offer to buy 20% additional stake in Chennai-based Everonn Education.
As per the open offer, the Varkey Group plans to acquire 44,83,535 fully paid-up equity shares of R10 of Everonn Education, representing 20% of stake at the price of R528 per share, totaling R236 crore. The offer would open on Nov 16, and would close on Dec 5.
Varkey group wants to enter India through Everonn?s strong presence in the education sector here. The Dubai-based group is one of the largest private operators of kindergarten-class 12 (K-12) schools globally, covering over 1,00,000 students from 143 countries. Everonn, too, operates in the K-12 segment under the KenBridge brand.
The shares of Everonn Education had hit an upper circuit post the news of acquisition surfaced on Sept 19. This is a clear sign of change of promoter holding at Everonn where post the preferential issue of shares Varkey Group will be inducted as a co-promoter. None of the existing directors or key personnel are subscribing to the preferential issue.
The shareholding pattern has undergone a change since the news of P Kishore, the former managing director at Everonn Education?s arrest and Varkey Group acquiring 12% stake in the company surfaced. Stake held by non-promoting holders in the company have dropped to 49.4% from earlier 56% and the promoters now hold 50.5% stake from earlier 44%. The promoters for Everonn Education now include group chairman and executive chairman of SKIL Infrastructure Nikhil Gandhi, co-promoter Varkey Group and co-founder and former managing director P Kishore and other associates.
Everonn Education is holding an Extra Ordinary General Meeting of the members of the firm on Oct 19 in Chennai to discuss issuance and allotment of preferential shares up to 26,18,120 equity shares at a price of R528 per share to the Varkey group. The company is likely to increase its NRI investment limit to 24% from existing 10%.