CVC to buy $200 mln stake in China education company EIC- sources
HONG KONG Jan 10 (Reuters) - Private equity firm CVC Capital has agreed to invest over $200 million into China education company EIC Group, buying shares from its founder and rival private equity firm Actis Capital, two sources with knowledge of the matter told Reuters.
The deal will give CVC Capital a substantial stake and a greater level of management control over EIC than Actis had, the sources said, without disclosing the exact stake CVC would own.
EIC, which specialises in providing coaching services to students in China seeking an overseas education, becomes the latest in a series of China buyouts where business owners have sold their shares to give more control to incoming investors.
The trend is fuelled by lengthy waits to get to a public listing in China, where the securities regulator has lifted a freeze on IPOs this month after a 15-month hiatus.
Actis and EIC did not respond to request for comments. CVC declined to comment. Sources declined to be named as the deal was not public.