Capitec billionaire’s private school buyout has a big draw for investors
South African billionaire Jannie Mouton is looking to purchase private school group Curro—with investors drawn to the deal as it offers discounted access to Capitec shares.
Mouton plans to acquire Curro via the Jannie Mouton Foundation, which was established as a Public Benefit Organisation (PBO), in a deal worth up to R7.2 billion.
Mouton is a renowned businessman in South Africa and played a crucial role in creating Capitec Bank, PSG Group, PSG Financial Services, and Curro.
Curro Holdings Limited is the nation’s largest independent school network, with over 70,000 students. The foundation already owns around 3%
The foundation plans to build more schools, expand facilities and offer bursaries as per the offer. Curro will become a registered PBO, and the management team is expected to remain on board.
Curro’s growth will be accelerated via reinvestment of its potential returns/surplus.
“For the foundation, acquiring Curro represents a game-changing R7.2 billion donation in quality education- quite possibly the largest philanthropic contribution South Africa has ever seen,” said Mouton.
“Over time, this will open the door for thousands more children to attend Curro schools through bursaries, broadening access to excellent education.”
“At the same time, Curro shareholders stand to benefit from a 60% premium on the current market price, ensuring that both education and investors gain from this bold initiative.”
Capitec on offer
The foundation seeks to acquire all the Curro Shares with an offer of R13 per Scheme Share, which includes:
- Cash Consideration of R0.85837 per Scheme Share (which will comprise approximately 6.6% of the Scheme Consideration)
- Capitec Shares in the ratio of 0.00284 Capitec Shares per Scheme Share (which will comprise approximately 79.7% of the Scheme Consideration);
- PSG Financial Services Shares in the ratio of 0.07617 PSG Financial Services Shares per Scheme Share (which will comprise approximately 13.7% of the Scheme Consideration).
Speaking to Business Day TV, Cobus Potgieter from Southern Cross Capital said that purchasing Curro now can give investors a cheap access point to Capitec.
Potgieter believes there is a high degree of certainty that the Mouton deal will take place by the end of the year.
Those who purchase 100,000 Curro Shares will receive around 280 Capitec shares, over 7,000 PSG Financial Services shares and R85,000 in cash.
The Mouton offer represents around a 4% discount despite a rapid rise in Curro’s share price as investors buy ahead of the probable deal.
Potgieter said the deal is especially attractive for investors looking for a cheap entrance into Capitec, given that it works out to around 80% of the overall package.
While Curro faced challenges during the 2025 financial year, including losing students and seeing minimal earnings growth, Capitec remains a favourite among investors.
Capitec has regularly taken the mantle of South Africa’s most valuable bank at a value north of R400 billion, often changing places with FNB-owner FirstRand.
Capitec has close to 25 million customers and continues to see rapid profit growth.
In a recent trading statement to shareholders, the group expects headline earnings to jump between 22% and 27% to 6,764 cents and 7,041 cents per share for the six months ending 31 August 2025.
It said this reflects a stellar performance across all its business units, with all businesses contributing positively to the expected financial results.
The group added that disbursements increased and the annualised credit loss ratio remained stable.
“Together with growth in the net investment portfolio, this has led to an increase in net interest income after credit impairments,” said Capitec.
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