PHINMA Education Holdings, Inc., one of the largest private higher education groups in Southeast Asia, has agreed to sell P4.5 billion-worth of new shares to funds managed by KKR, a global investment firm, with participation of its existing shareholder Kaizenvest. 

In a disclosure to the stock exchange today, the education arm of PHINMA Corp. said it signed today investment agreements with Phoenix Investments II Pte. Ltd., an investment vehicle of KKR, and Rise Edu Pte. Ltd., managed by Kaizenvest. 

KKR will also acquire shares from the Asian Development Bank, FMO and Kaizen Private Equity II Pte. Ltd., all of whom invested in PHINMA Education in 2019 but will no longer hold any shares in the company.

Following the transactions, KKR and Kaizenvest III will hold 30.67% and 3.73% stakes in PHINMA Education, respectively. KKR will also be entitled to three of the 11 seats on PHINMA Education’s board.

The transactions are subject to conditions including clearance from the Philippine Competition Commission.

PHINMA Corp. Chairman and Chief Executive Office Ramon del Rosario, Jr. said the the collaboration between PHINMA Education and KKR puts them “in a better position to serve and uplift the youth of the Philippines and Southeast Asia.”

PHINMA Education President and Chief Executive Officer Chito Salazar said the fresh investments would support the company’s ability to “scale our systems, enter new markets and empower our students to achieve the future they want and deserve.”

At present, PHINMA serves over 150,000 students across the Philippines through a network of schools including PHINMA Cagayan de Oro College, PHINMA University of Pangasinan, PHINMA University of Iloilo, Southwestern University PHINMA in Cebu City, PHINMA Saint Jude College in Manila, PHINMA Republican College in Quezon City, PHINMA Rizal College of Laguna and PHINMA Union College of Laguna. The company is also expanding in Southeast Asia, starting with Horizon Education in Indonesia. 

PHINMA Education is the latest investment by KKR Global Impact in education and workforce development. Other investments include EQuest Education in Vietnam, Education Perfect in Australia and New Zealand, Graduation Alliance and Lightcast in the United States, and Master Distancia in Spain, Portugal, and Italy.