John: Optimistic

Mumbai, Sept. 20: Everonn Education has issued 2.6 million shares worth Rs 138 crore to Dubai-based Varkey group.

The Varkey group will now hold nearly 12 per cent in the company.

Shares of Everonn Education rose 5 per cent to Rs 367.15 on the Bombay Stock Exchange (BSE) and stayed at that level for the day.

In a filing to the stock exchanges, Everonn said after the share allotment, the Varkey group and people acting in concert would become part of the company’s promoters.

The agreement with Varkey was approved by the Everonn board at Rs 528 per share, a premium of 51 per cent on Everonn’s closing price on Monday.

The notice by the company said its board of directors had approved the increase of the total NRI limit under the portfolio investment scheme from 10 per cent to 24 per cent.

Everonn has recently appointed a new chief executive after the CBI arrested its founder and managing director P. Kishore for allegedly paying a bribe to a tax officer. After the arrest, the company’s chairman Jamshed J. Irani resigned. Soon after, Everonn appointed Susha John as chief executive.

Nikhil Gandhi-promoted SKIL Infrastructure holds around 21 per cent in the company, while P. Kishore has another 8.5 per cent.

Everonn has recently formed a joint venture with the government’s National Skill Development Corporation, which plans to invest Rs 700 crore to develop centres all over the country.

Dubai-based Varkey group owns GEMs Education and runs schools in the UAE, Egypt, India, China and other West Asian countries.

“We are confident that the Varkey group, along with SKIL Infrastructure, will create value for stakeholders and help us to become a leading global education company,” Susha John said.