Dubai-based education- and healthcare-focused investment firm Amanat Holdings has terminated the sale and purchase agreement (SPA) of Middlesex University Dubai to Study World Education Holding Group.
Amanat chief executive Dr Mohamad Hamade said: “While we were enthusiastic about completing the transaction, we took the decision to terminate the SPA despite Amanat having completed all its obligations under the agreement.
“The decision to terminate the SPA was on the basis of protecting the best interest of Amanat Holdings’ shareholders and to ensure adequate transparency after what had become a prolonged completion process.”
The SPA was executed in July, when Amanat said the transaction was subject to the satisfactory completion of customary conditions, including regulatory approvals and estimation of final consideration.
Amanat purchased Middlesex University Dubai from the liquidators of Dubai-based private equity firm Abraaj Group in August 2018 for 418.9 million dirhams (£88 million).
AnalyzeMarkets reported that, to recoup its investment, Amanat would need to sell Middlesex University Dubai for no less than 13-times its 2019 full-year earnings.
The institution was established in 2005 and offers undergraduate and graduate studies. It caters to more than 3,500 students from over 100 countries.
Earlier this month, United Arab Emirates-listed Amanat joined the Series C funding round of a New York-based ed tech, pouring 18.4 million dirham (£3.85 million) into the start-up.
Date published: 28 October 2020