Blackstone-backed GEMS Education has refused to comment on “rumours” that plans for an initial public offering (IPO) have been shelved.
On Wednesday, Reuters – citing three people familiar with the matter – said that the company’s London listing was delayed after the government of Dubai froze tuition fees, forcing the company’s financial outlook to be adjusted.
The report also said that the Luxembourg-headquartered private equity firm CVC – which formerly owned a majority stake in Formula One Group – had expressed an interest in buying GEMS, although it was unclear whether talks were ongoing.
In a statement sent to Arabian Business, a GEMS spokesperson declined to comment on the report.
“As a matter of company policy, we do not comment on rumours or speculation,” the spokesperson said.
GEMS, one of the world’s biggest education providers, owns and operates 47 schools and nurseries in the United Arab Emirates, Qatar and Saudi Arabia, according to its website.
GEMS EBITDA (earnings before interest, tax, depreciation and amortization) for the six months ending in February were $206 million, compared to $194.3 million in the same time period the previous year, while revenues grew from $550.4 million to $602.6 million.
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