Mouton deal could fast-track Curro's growth by decades - CEO
Curro CEO Cobus Loubser stated that the proposed delisting by Jannie Mouton's consortium could accelerate the company's expansion plans, allowing for more strategic, long-term investments in its school network.
A Vision for Curro 2.0
Curro Holdings CEO, Cobus Loubser, has publicly endorsed the R7.2 billion buyout offer from a consortium led by Jannie Mouton, stating it could advance the company's growth trajectory by 'decades'. The move, described as 'Curro 2.0', is designed to shift the company's focus from short-term financial metrics to sustainable, long-term value creation.
Breaking Free from Market Constraints
Loubser highlighted the limitations of being a publicly-listed entity, where the market often penalizes companies for making long-term investments that don't yield immediate returns. 'As a listed business, you are almost forced to manage the business for a short-term outcome,' he explained. By going private, Curro would gain the flexibility to invest heavily in new schools and educational technology without facing pressure from shareholders focused on quarterly earnings.
- Strategic Investments: The deal enables large-scale capital projects for new campuses.
- Focus on Education: Management can prioritize educational outcomes over shareholder returns.
- Enhanced Stability: A private ownership structure provides a more stable foundation for future growth.
The proposal is currently under review, but if successful, it could mark a new era of accelerated expansion and innovation for the private education giant.