Amount Invested: RM1.3 million

Amount Required: RM6 million

EXECUTIVE SUMMARY:

Company History: XXXXXX International College was founded by a group of academics with a passion for providing affordable and innovative education environment to the youths in Malaysia. The college has been in existence for 7 years and has graduated a total of 4 batches of students since its inception. The two main directors of the company consist of the former Registrar of the University of Adelaide and a former treasurer of Nestle and marketing strategist with vast experience in the education industry.

Product / Service Description: The Malaysian education industry is undergoing monumental shifts with the constant evolving landscape coupled with transformation and enhancements in government policies. There is also increasing demand for quality education both locally and regionally. XXXXXX is well positioned to establish a stronger market presence in Malaysia and the Asia Pacific region to take advantage of the customer demand. As a privately owned company XXXXXX is unable to tap this huge potential due to limitations in the size of the company as well as the required funding to provide the impetus to drive the company forward. Therefore, the owners are keen to strategically restructure the company through divestment (total or partial) and invitation to prospective investors to participate in the equity of the Company.

Business Opportunity: The company as it stands is faced with slow growth primarily due to lack of funding and the surrounding aspects that affect its critical success factors as explained above. The Company has been funded by the personal savings of the directors and shareholders and this has created a strain on their personal assets. In order for the long-term survival and growth of the company, the directors are of the opinion that injection of fresh capital is necessary. They are therefore keen to explore a major restructuring plan that will turnaround the company and generate returns to the prospective investor and the existing owners of the company. They are open to further negotiation on the manner of funding and to deliberate further on the current and future prospects of the company.

Revenue Model: The injection of funding into the company will allow the company to embark on its long term expansion plan that includes the following:

Upgrading the infrastructure with the building of a new university college specially designed campus complete with advanced teaching and sports training facilities and student residences
Enhancement of in-house facilities e.g. improved computer assisted learning equipment, lecture theatres and halls, resource centres, drafting studios and recreational facilities
Upgrade the quality of human capital including employing the best teaching and administrative staff
Development and execution of strong and aggressive marketing strategies e.g. product development, branding and market penetration
Establishment of strong alliances and partnerships with reputable foreign universities
Building of a solid and effective academic research and development department
The materialisation of these plans and the success of current and new business ventures will translate into increased student numbers and overall revenue for the company

Management Team: The Management team consists of the following
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Current Status: XXXXXX Group has sustained a reasonably good track record and has established goodwill over the years. In January 2013, the government announced a 2 year freeze on the setting up of new private colleges, university colleges and universities. Investors who wish to embark on education business will not be able to set up these institutions until this moratorium is lifted. There are numerous advantages in acquiring an existing business as a going concern as opposed to setting a new one as much of the cost involved in set up, building reputation, developing programmes, partnerships, licences, etc provides added value that would otherwise take years to acquire.

Funding Milestone: The college needs a funding of RM 4 – 6 million in order to propel it to a higher level in order to reap the benefits of the business.

Business Valuation: We are willing to consider a full management buy out and maintain the current management to manage the college in order for the ROI to be achieved.