Dubai school operator GEMS eyes stake sale at $6 billion value

Dubai school operator GEMS eyes stake sale at $6 billion value

The owners of GEMS Education, one of the world’s largest private school operators, are exploring options including the sale of a controlling stake in the business, according to people familiar with the matter. Buyout firm CVC Capital Partners and founder Sunny Varkey may sell their stakes in the Dubai-based school operator in a deal that could value the business at as much as $6 billion, the people said, asking not to be identified as the matter is private. Middle Eastern sovereign wealth funds and some large financial sponsors are looking at the business currently, the people said. The owners are working with Morgan Stanley and Goldman Sachs Group Inc. to identify buyers, the people said. The owners are also weighing an initial public offering as a potential exit route though the preferred option is a sale for now, the people said. Deliberations are ongoing and there’s no certainty that CVC and Varkey will decide to proceed with the stake sales. Representative for GEMS, CVC and Morgan Stanley declined to comment. A spokesperson for Goldman Sachs couldn’t immediately be reached for comment. Education assets have drawn strong interest from financial investors keen to expand in the sector. Infrastructure investor Stonepeak Partners