Zee Learn (up 1.23% at Rs 45.15) and MT Educare (up 2.65% at Rs 71.70), edged higher.

Meanwhile, the S&P BSE Sensex was up 215.67 points, or 0.63% to 34,371.62.

Zee Learn announced after market hours yesterday, 14 February 2018, that it signed definitive agreements to invest Rs 200 crore in MT Educare through a preferential allotment of equity shares (face value Rs 10 per share) for a stake of 44.53% in the expanded share capital of MT Educare. The execution of definitive agreements has triggered the requirement to make an open offer and the regulations therewith will be complied.

Zee Learn announced an open offer to the shareholders of MT Educare to acquire up to 1.86 crore fully paid-up equity shares, constituting 26% of the emerging share capital, of Rs 10 each at a price of Rs 72.76 per fully paid up equity share.

Commenting on the transaction, Debshankar Mukhopadhyay, CEO, Zee Learn, said that the company is excited to announce the board's approval to subscribe for preferential allotment of equity shares in MT Educare. Post subscription, Zee Learn would hold a 44.53% stake in MT Educare. The acquisition of MT Educare is aligned with the company's strategy to increase its footprint across segments in the education sector and consolidate its offerings through the digital route. This stake acquisition will strengthen the company's pre schools and K12 offerings through Kidzee & Mount Litera Zee Schools respectively and will also mark the company's entry into the high growth market of Edutech through Robomate and test preparation / tutorials through other brands like Mahesh Tutorials, Lakshya and Chitale classes. This acquisition will also help the firm make inroads into the government supported skilling and vocational segment where MT Educare has a significant presence. Post the acquisition, Zee's education offerings on a consolidated basis would reach around 3.50 lakhs students, making it one of the biggest education companies globally in terms of number of students served. With this association, Zee will create high value content and enrich the student experience by leveraging the strong experience of the academic teams of both the companies. This acquisition will further improve and strengthen the shareholder value of both the companies and Zee is now equipped for an exponential growth in the future.

Zee Learn, an Essel Group company, is India's leading company in the education segment with the fastest growing chain of K-12 schools (MLZS - Mount Litera Zee Schools) and Asia's No 1 chain of Pre-schools (Kidzee) in its portfolio.

MT Educare is one of the leading education support and coaching services provider in school, science and commerce streams across Maharashtra and has operations / presence in other states like Tamil Nadu, Kerala, Andhra Pradesh, Telangana, Karnataka, Punjab, Chandigarh, Haryana, Assam, Odisha, Uttar Pradesh and Gujarat.