- Alkhaleej Training and GFH sign MoU to study the merger of their education assets.
- The combined entity could serve about 25,000 students, creating a major private education platform.
- The new firm may list on Tadawul in 2-3 years, subject to approvals.
Alkhaleej Training and Education Co. has signed a non-binding memorandum of understanding (MoU) with GFH Financial Group to explore a large-scale merger of their education businesses, a move that could reshape the private education landscape in Saudi Arabia and the wider region.
Under the non-binding agreement, both sides will study the integration of Alkhaleej Training’s core education assets with GFH’s education portfolio through a 100 percent in-kind share exchange. The goal is to create a new, unified education entity focused on long-term growth, skills development, and wider access to quality schooling.
Alkhaleej Training’s assets include 13 schools across major Saudi cities such as Riyadh, Jeddah, Dammam, Khobar, Dhahran, and Al-Ahsa. GFH’s education portfolio covers 10 schools and one university located in Saudi Arabia, Bahrain, the UAE, and Tunisia. Together, these institutions could serve around 25,000 male and female students, positioning the new entity as one of the largest education providers in the Kingdom.
The companies plan to establish the merged business as either a Saudi joint-stock company or an education-focused fund. They aim to list the new entity on the Saudi Exchange (Tadawul) within 24 to 36 months after completing the transaction, subject to regulatory approvals.
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During the MoU period, the parties will carry out financial, legal, and operational due diligence. They will also appoint independent legal, tax, and financial advisors, along with certified appraisers, to finalize valuations and ownership structure.
The MoU will remain valid for six months and may be extended by mutual consent. While it is not binding on the final transaction, it enforces confidentiality obligations. The companies confirmed the agreement has no immediate financial impact.
