KUALA LUMPUR: Paramount Corp Bhd has entered into a strategic partnership with Australian public university, University of Wollongong (UOW), to enhance its tertiary education business.
Paramount chief executive officer Jeffrey Chew said the partnership was worth RM38.5mil.
He said the tie-up would see UOW’s wholly-owned subsidiary, UOW Global Enterprises, taking up a 65% stake in the business and operations of KDU University College and KDU Penang University College, as well as a 70% stake in KDU College.
“The strategic partnership is a catalyst to elevate KDU quickly in an increasingly competitive market. It will help differentiate KDU from other higher education institutions in the market.
“UOW brings higher education expertise from Australia, Hong Kong and Dubai, while Paramount’s experience and presence in Malaysia, combined with our strong management skills and brand credibility, will contribute and benefit business growth,” he said after the partnership agreement signing ceremony .
Chew said UOW Global had set up a Malaysian company, UOW Sdn Bhd, to carry out the transaction.
Through an asset securitisation proposal announced on Oct 25, he said KDU University and KDU Penang University would dispose of their university campus properties worth RM420mil prior the entry of UOW and subsequently lease back these properties later.
“We are still drafting the agreement on the leasing terms with UOW and we expect to finalise this soon,” he said. — Bernama