KKR invests in leading Filipino higher education group PHINMA Education
KKR, a leading global investment firm, and PHINMA Education Holdings, Inc. (‘PHINMA Education’ or the ‘Company’), a leading private higher education group and the education arm of Filipino conglomerate PHINMA Corporation, today announced the signing of definitive agreements under which funds managed by KKR will invest in PHINMA Education, with participation from existing shareholder Kaizenvest. PHINMA Corporation will remain the majority shareholder in PHINMA Education.
Established in 2004, PHINMA Education seeks to provide quality, affordable tertiary education to underserved youth, equipping them with professional and vocational training that supports gainful employment. Guided by PHINMA’s mission to ‘Make Lives Better Through Education,’ it is one of the largest private higher education groups in Southeast Asia, serving around 150,000 students through its fast-growing network of colleges and universities, including nine in the Philippines and one in Indonesia.
KKR is investing in PHINMA Education from its Global Impact Fund II, which targets companies whose core business contributes meaningfully towards one or more of the United Nations Sustainable Development Goals (SDGs). PHINMA Education’s mission directly contributes toward SDG 4 (Quality Education).
George Aitken, Managing Director and Head of Global Impact for Asia Pacific at KKR, said, “PHINMA Education’s mission of delivering quality, affordable education to underserved communities aligns strongly with our Global Impact strategy. We will look to leverage KKR’s deep experience investing in education companies globally to support the management team’s vision to scale the company and become a leading education platform across Southeast Asia.”
Ramon R. del Rosario, Jr., Chairman and Chief Executive Officer of PHINMA Corporation, said, “When PHINMA first entered the education business two decades ago, we wanted to help improve the lives of young Filipinos in need and in turn, their families. Our commitment to this mission remains steadfast to this day. This collaboration between PHINMA Education and KKR, a like-minded strategic partner, puts us in a better position to serve and uplift the youth of the Philippines and Southeast Asia.”
Dr. Chito B. Salazar, President and Chief Executive Officer, PHINMA Education, added, “While our network has grown significantly over time, there continues to be so many more prospective students to reach, existing students to help keep in school and so much more to do to make college education more accessible to those who need it most. We are fortunate, therefore, to have an investor of KKR’s quality to help us make the lives of the underserved youth in Southeast Asia better. Their investment will support our ability to scale our systems, enter new markets, and empower our students to achieve the future they want and deserve.”
PHINMA Education marks the latest education and workforce development investment by KKR Global Impact, in addition to: EQuest Education, an education group in Vietnam with offerings covering K-12, edtech and vocational training; Education Perfect, a leading learning, assessment, and analytics platform in Australia and New Zealand; Graduation Alliance, which works with students of all ages through partnerships with educators, government agencies, community leaders, and employers to provide versatile pathways to graduation and employment in the United States; Lightcast, a provider of labor market analytics software that delivers real-time data and planning tools to educators in the United States; and Master Distancia, a leading vocational education provider in Spain, Portugal and Italy.
The transaction is expected to close in the third quarter of 2024, subject to customary regulatory approvals, including that of the Philippine Competition Commission.