Monash pulls out of South Africa, sells to Advtech
Monash University sells out to Advtech in R340 million deal and pulls out of South Africa.
On Tuesday, Advtech announced it would pay R343 million – and whatever cash on hand and working capital adjustments on the effective date of the acquisition – for Monash South Africa. The offer is very close to the R330 million net asset value Monash SA reported at the end of last year.
After 18 years in South Africa, Monash is confident of letting Advtech take over. “Our track record gave Monash comfort that existing students would be well catered for,” Felicity Coughlan, the group academic director of Advtech, told Business Insider SA.
However, the Monash name will disappear from their Johannesburg campus. Felicity says:
“We may use ‘MSA’ as the brand, that’s one of the options, or there may be synergies with some of our existing brands."
Founded in 2000, Monash South Africa markets itself as a local provider of degrees with international brand recognition. The campus has a capacity of 6,500 students and features a number of student residences. Monash is Australia’s biggest university and also has a campus in Malaysia, and centres in India, China, and Italy.
Advtech currently has some 30,000 tertiary students enrolled at its institutions, most of them on degree tracks, and recently bought Oxbridge Academy and The Private Hotel School. They would like to roll out some the registered Monash qualifications at its other tertiary institutions, which include Vega, Rosebank College, and Varsity College.
Monash also launched the first Bachelor of Engineering programme at a private institution reviewed by the Engineering Council of South Africa this year. “Its MBA and public health qualifications are a good fit for the company,” Felicity says.