KUALA LUMPUR (Jan 20): Berjaya Corp Bhd (BCorp) has proposed to dispose of its 71.73% stake in Berjaya Higher Education Sdn Bhd, which owns Berjaya University College (BUC), to Nanyang International Education Group Sdn Bhd.

In a statement, BCorp said its wholly-owned subsidiary Berjaya Group Bhd has inked an agreement with Nanyang for the proposed disposal.

However, the group did not indicate the disposal value.

Nanyang was incorporated by its majority shareholder, Krirk International Education Holding Co Ltd, to invest in the education business in Malaysia.

Krirk was incorporated in Thailand and is principally involved in education businesses. It owns and manages Krirk University, a university in Thailand.

The BUC transaction, which is pending approval from the Ministry of Higher Education, is expected to be completed by June 2022, said BCorp.

BCorp group chief executive officer Jalil Rasheed said the disposal “is putting rubber to the road” in terms of the group’s promised plans.

“As outlined in our transformation strategy, BCorp will divest some of its non-core areas so that we can focus on our core businesses. While it is bittersweet, we are glad that BUC will be in the good hands of Krirk.

“We believe that they will to continue to create opportunities and produce able, skilled and professional graduates who will contribute to Malaysia,” Jalil added.

BCorp had announced the transformative strategy in June last year to focus on five core areas as it works towards becoming a global consumer group. Part of this strategy included divestments from areas of business that no longer fell within this classification.

“We are quietly enthused because after some delays caused by the pandemic, we are seeing the results of our efforts in terms of divestments. Going forward, we expect to track according to plan,” said Jalil.

Meanwhile, Krirk president Dr Krasae Chanawongse said he believes BUC is the right fit for the Thai group as it expands its footprint into Malaysia.

“We look forward to continuing the legacy of Berjaya and taking it to the next level,” he said.

BCorp’s share price ended Wednesday’s session unchanged at 24.5 sen, giving it a market capitalisation of RM1.33 billion.

Edited by S Kanagaraju

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