EuroKids to launch 200 pre-schools, five schools by March 2010

In order to achieve its medium-term goal of 1000 pre-schools, EuroKids International Private Limited (EPIL) is set to roll out 200 such schools in the current fiscal. This fiscal will also see the launch of five EuroSchools, the company's foray into primary and secondary education.

The company plans to use the Rs 40 crore capital from its stakeholder Educomp Solutions, besides internal accruals. "In Gujarat we operate a total of 38 centres of which 13 centres are in Ahmedabad city. Our plans are to add another 25 centres in Gujarat by March 2010 and we will also launch the School Facilitation business this year in Ahmedabad. Given our very high equity in Gujarat we are also firming up our plans to open a EuroSchool in Ahmedabad to offer academic continuity to our young students. We will very shortly make the announcement of this project. As Educomp has 50 per cent stake in our company, we have received equity worth Rs 40 crore, which we plan to use for the expansion," said Prajodh Ranjan, vice president, EuroKids International Limited.

 

EuroKids also plans to ramp up operations of the company-owned centres by setting up 20 more such centres across the country in the current year. "As against the current franchise to company-owned centre of 97:3, we have lined out a ratio of 80:20. Currently, there are 30 company-owned centres, which we plan to raise to 50 this year at a total investment of Rs 7.5 crore and to 200 in the next three years at an investment of Rs 20 crore. In the last fiscal, we have added about 125 pre-schools and made fairly aggressive plans to reach our three-year aim of 1000 pre-schools. The investment details are yet unclear," Ranjan added.

EuroKids is a leading pre-school chain with 523 pre-schools spread across about 180 towns/cities in India. The company recently started the school facilitation business wherein it ties up with regular schools to offer them franchise. "We have started the school facilitation centre in Maharashtra, Andhra Pradesh and Tamil Nadu and will launch this service in 10 other markets in India in the current fiscal.

This fiscal will also see the launch of five EuroSchools in Navi Mumbai, Jodhpur, South Bangalore, Guwahati and Tura (Megalaya)." Ranjan said.