Gems Education, based in Dubai, plans to invest approximately $300 million over the next two to three years to fuel organic growth, according to a resource. The company is betting on population growth and an influx of wealthy individuals.
Dubai, one of the world’s fastest-growing cities, has seen its population rise due to an influx of foreigners, particularly high-income earners, drawn by favorable tax policies, a business-friendly environment, and a convenient time zone.
The international education provider aims to increase its student headcount by 30,000 to 35,000 by 2028, CEO Dino Varkey said on the sidelines of a conference in Abu Dhabi.
He cited demand from people who have relocated to Dubai from both the East and the West
In the United Kingdom, the imposition of VAT on private school fees and the scrapping of non-domiciled status has led some millionaires to move to the UAE.
“Certainly, what we’re probably seeing right now is, given the nature of some of the tax reforms going on in parts of the UK and other parts of Western Europe, you are seeing perhaps a higher proportion of families choosing to relocate to the UAE from those parts of the world”, Varkey said.
Gems, which is set to open a school in August whose annual tuition fees could reach as much as $56,000 in the future, will also consider acquisitions, Varkey said.
Last year, a consortium led by Brookfield Asset Management invested in the school operator, as private equity firms increasingly support local businesses in the Gulf.
Founded as a family business, Gems Education has expanded from a single school in 1959 to educating 170,000 students from over 176 countries.
