AEC Education plc
Acquisition of 51% of AASM School of Management
AEC Education plc (“AEC”), is pleased to announce the acquisition of 51% of AASM School of
Management Pte Ltd (“AASM”), incorporated and operating in Singapore.
AASM is a private education provider based in Singapore which recruits students from China for its
Business Management and Logistics program. AASM has operations in Shenzhen and Changchun in China
which are focused on student recruitment, adult education and placement and advisory services.
The school currently has 200 students and is projected to grow significantly in 2008. The company
made a profit-after-tax of SGD$128,644 (approximately £42,000) for the year ended 31 December 2006
and had net assets of SGD$221,387 (approximately £72,000) at 31 December 2006.
The cost of the acquisition is S$331,500 which will be settled by the issue of AEC shares at a
price of 11p per share at an exchange rate of £1 = S$ 3.02. The total number of shares issued will
be 997,893. Fifty per cent. (498,946 shares) will be issued to AASM shareholders immediately. The
remainder will be paid in equal tranches over the next two years subject to the achievement of a
target profit of SGD$185,000 per year over the next two years. If the profit target is not
achieved, the number of shares will be reduced proportionately.
Mr. David Ho, CEO of AEC Edu Group Pte Ltd, said “This is another small synergistic acquisition in
line with AEC’s strategy. China is rapidly expanding its education and training in preparation for
the Beijing Olympics in 2008 and the Shanghai World Expo in 2010. The country is urgently
preparing its citizens for the bilingual requirements of these two mammoth events. With this
acquisition, AEC will be well-poised to take advantage of the market opportunity that this demand
The 498,946 new ordinary shares issued as a result of the acquisition will rank parri passu with
the Company’s existing ordinary shares of 10p each in issue. AEC has made application for
admission to trading on AIM of the 498,946 new ordinary shares and trading in the new ordinary
shares is expected to commence on 14 September 2007. Following this issue, the Company’s total
number of issued ordinary shares will be 15,414,988.
For further information please visit www.aeceduplc.co.uk or
Mr Haider M Sithawalla
AEC Edu Group Pte Ltd
Tel: (65) 6320 4879
Fax: (65) 6224 8018
Nabarro Wells & Co Limited
Tel: +44 (0) 20 7710 7400
David Nabarro, Anthony Rowland
About AEC Education Plc
AEC is the UK holding company for a number of companies, founded in 1985 in Singapore and Malaysia
that provide business educational services to approximately 16,000 students in the Asia-Pacific
region: the fastest-growing source market for international students.
The AEC Group offers class-based instruction at the largest educational campus in Singapore's
Central Business District and distance learning up to postgraduate level. In addition, it
provides degree qualifications on behalf of several leading international universities, targeting
the large volume of overseas students that the Singaporean government has announced in the Global
Schoolhouse Vision it intends to increase.
AEC's aim is to be a leader in quality education through facilitating learning, fostering
creativity and developing knowledge, skills and confidence in its students. Its receipt of four
Singapore Quality Class Awards shows the Group's recognition by the Singaporean Government as a
prestigious and forward-moving company.
In August 2006, AEC was awarded the CaseTrust for Private Education
Organizations, a student protection scheme for foreign students. This is a further step by AEC in
its recognition as a quality provider in the education industry.