The Manchester office of Shoosmiths, the leading national law firm, has advised on a major strategic acquisition and share placing for long-standing international client Malvern International.
In a deal led by corporate partner Karen Procter, global education provider Malvern International, which is listed on the AIM-market, has acquired Manchester-based Communicate English School Limited for £2.34m.
Malvern International has funded the acquisition via a placing of 100 million shares at 4p, raising £4m.
Communicate English School was founded in 2013 and in 2017 taught more than 1,000 students. Its good reputation in the market place, strong growth prospects and accreditation from the British Council accredited made it attractive to Malvern, which sees opportunities to broaden the range of courses it offers.
Commenting on the Acquisition and Placing, the Chairman, Gopinath Pillai, said: "The acquisition of Communicate, our second in seven months, illustrates the consolidation opportunities in our industry and Malvern's ability to partner with willing vendors.
"Communicate is well established and has a good track record for quality and growth; its revenues and profits have increased in each of the last four years. Being based in Manchester it will complement the group's existing London school and provide an alternative location for potential Malvern students; and Communicate will benefit from Malvern's international marketing and agency network."
Karen Procter said: "We were delighted to support Malvern in this transaction. The company has a dynamic management team with a real appetite for growth.
"Malvern has a really strong market position in Singapore and sees significant opportunities for further consolidation in Europe and in cities like Manchester which attract large numbers of international students."
Shoosmiths' Manchester-based corporate team has also recently advised on the acquisition of more than 20 Flooring Republic stores by Taylor Grange Retail and the Foresight Group-backed management buyout of Manchester-based life sciences company Epistem from AIM-listed Genedrive plc.
Karen Procter added: "We have had a strong first half of 2018. Confidence is positive across a wide range of sectors and we are optimistic about the deal activity for the remainder of the years."