Simon's point is valid and I accept there is risk in this share going forward, also see his column in Finweek. My personal view, I like this share (I have these in my portfolio) for the following reasons: - Good to great management team; - Great story; - Dual medium education; and finally - They are filling a need in South Africa. We have a poor state of government education so they are trying to provide an affordable good quality education solution to the middle class - (compared to Advtech). A recent SA survey (I forget which one) showed that South African would rather spend on their kids education than on saving for retirement... Potential issues for Curro: - Schools are expensive infrastructure and the business model would need to find creative ways to "sweat" their assets....for about 3 months of the year these assets don't generate revenue. - Providing good quality education costs money, so either there will be margin pressure going forward or their affordable education strategy will need to change. - Teachers ... they will need to find high quality teachers which will cost money. That my two cents :)
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