Raffles Education Limited has announced the completion of its property disposal at 51 Merchant Road, generating net cash proceeds of S$121.3m. This strategic move, approved by shareholders earlier this month, is set to enhance the company’s balance sheet and support its expansion strategy across ASEAN markets, including Malaysia, Thailand, and Indonesia. The company also declared a tax-exempt special interim dividend of 0.4 Singapore cents per share, with the record date set for 9 March 2026.
The proceeds from the sale will primarily be used to repay the majority of the Group’s bank loans, significantly reducing interest expenses and strengthening its financial position. Additionally, S$12.25m of non-convertible bonds will be redeemed, further contributing to interest savings. The company aims to utilise the capital to accelerate growth initiatives in key ASEAN markets.
In Malaysia, Raffles Education plans to expand its Raffles American School and Raffles University in Iskandar, focusing on increasing enrolment and launching new programmes. In Thailand, the company will expand its Raffles American School in Bangkok to accommodate more students. Meanwhile, in Indonesia, a new premium K-12 school is set to open in Jakarta, targeting high-income households and expatriate communities.
Chew Hua Seng, Chairman and CEO of Raffles Education, stated, “The completion of the sale marks a key milestone in optimising our capital and providing the Group with the agility and means for expansion without reliance on external borrowings.” The company’s strategic focus remains on leveraging its established brand and operational expertise to drive growth across the region.
