Making the grade
Trematon Capital brings new private school brand to SA
Education appears to be a red-hot sector on the JSE at the moment, but investment company Trematon Capital won’t pursue a JSE listing before building critical mass
Education appears to be a red-hot sector on the JSE at the moment, but investment company Trematon Capital is not going to push forward the timetable for listing its Generation Education private schools subsidiary. Despite an encouraging start, indications are that Trematon will build critical mass before mulling an exercise to float the fledgling business on the JSE. The JSE’s two largest private education companies, Curro Holdings and AdvTech, command compelling earnings multiples. Pembury Lifestyle Group — which offers no-frills, low-fee private education — listed on the JSE last month, and Curro is set to unbundle its tertiary education subsidiary, Stadio Holdings, later this year. In its half-year to end-February results, Trematon reported "pleasing growth" from Generation, with its first school in Sunningdale (near Milnerton in Cape Town) oversubscribed. Revenue was up almost fourfold to R8.5m, which was whittled down by start-up and development costs to a pretax loss of R1.7m...