Yap-led group takes over Centro Escolar

A new group of investors, led by newspaper publisher Emilio Yap, has taken control of publicly-listed Centro Escolar University (CEU).

Yap, who also owns listed firms Manila Bulletin and Euro-Med Laboratories, as well as the Manila Hotel, was elected chairman of the CEU board, replacing long-time chairperson Lourdes Echauz, who was subsequently elevated to chairman emeritus.

In the special meeting of the board of directors, three CEU directors (Victoria Tamayo, Jose Ledesma and Antonio Picazo) also resigned from their respective posts to pave the entry of Yap and two other noted academicians: former UP chancellor Emil Javier and former Education Secretary Bro. Andrew Gonzalez of the De La Salle University.

Last July 3, the Philippine Stock Exchange (PSE) grossed around P560 million worth of CEU shares to effect the buy-in of the new investor group.

CEU, one of two listed academic institutions (the other is Far Eastern University), has a market capital of P2.123 billion, with total outstanding shares of over 372 million priced at P5.70 each.

The Mendiola-based school was put up in 1932 and has expanded its campus in Malolos, Bulacan. Strong in field of medical sciences, the university relies mainly on cash generated by operations, through tuition fees and other income, using these to pay dividends and provide for capital expenditures.

In early 2000, another academic institution, the Mapua Institute of Technology, was taken over by the Yuchengco group through listed firm iPeople Inc. (formerly Petrofields).