Pearson takes over TutorVista for R577 crore
Global education and publishing giant Pearson on Tuesday announced its bullish intentions to grab a larger pie in India’s lucrative educational sector with the acquisition of Bangalore-based TutorVista---an online tutoring company. HT reports.business Updated: Jan 18, 2011 22:12 IST
Global education and publishing giant Pearson on Tuesday announced its bullish intentions to grab a larger pie in India’s lucrative educational sector with the acquisition of Bangalore-based TutorVista---an online tutoring company.
Pearson acquired a fresh 60% stake in TutorVista for around R577 crore, which added to its earlier 17% stake endows it with a total 76% holding in TutorVista.
“Pearson has valued TutorVista at around R960 crore and we are looking to acquire another 4% stake in the company over the next one month,” said John Makinson, chairman Pearson India. Current CEO Krishnan Ganesh would continue to lead TutorVista, the world’s largest tutoring company.
It offers digital content to over 100,000 students across 60 countries. The company also manages 19 schools in India and plans to add over 100 schools over three years. “India will be our laboratory for the world,” Makinson said referring to the business of school management. The company plans to replicate the model in other countries.
Pearson is open to more partnerships and acquisitions to expand in India. “We will be looking for acquisitions in India, but they should be strategic and add value to our plans,” he said. The TutorVista stake sale showcases Ganesh’s expertise as an entrepreneur who has successfully launched and sold three ventures in the past. In 2002 he sold his BPO venture CustomerAsset to ICICI. In 2007 he divested his stake in Data Analytics to BPO firm WNS. His IT services firm IT&T was taken over by iGATE in 2003.