CIBT Education Group to Undertake Non-Brokered Private Placement

June 18, 2015
June 18th, 2015: CIBT Education Group Inc. (TSX:MBA, OTCQX International: MBAIF) (“CIBT”) is pleased to report that it intends to undertake a non-brokered private placement to raise approximately $2.0 million through the issuance of units at a price of $0.25 per unit. Each unit will consist of one common share and one-half of a share purchase warrant. Each whole warrant will be exercisable at a price of $0.30 per warrant share for a period of two years. Proceeds will be used for acquisition of schools, to increase CIBT’s ownership stake in its education real estate projects and for general working capital purposes.

“For the past two decades, management has been prudent and sensible in its management style,” commented Toby Chu, President, CEO and Vice Chairman of CIBT Education Group. “During the peak of the economic boom in 2007, our shares were trading at a substantial premium. As a result of this, CIBT raised over $20 million dollars of expansion capital. We managed our money carefully when the world economy entered into the years of global financial crisis beginning in 2008. We deployed our capital wisely and acquired a large portfolio of education assets at discounted value. Such undervalued transactions included the purchase of Sprott Shaw College, a school with $32.6 million revenue, for $11 million and Acsenda School of Management for $1.0 million, for a total purchase price of $12 million. We also purchased King George International College, a language school with $16.2 million revenue, for $4.3 million. By leveraging our global recruitment channels we expanded our student body to nearly 13,000 students and gross revenue ballooned from $5 million to nearly $59 million in 4 years.

“When the financial crisis entered into its recovery phase in 2013, CIBT sold King George International College for $13.5 million after 3 short years of investment and generated gross profit of $9.2 million. Cash proceeds were used to acquire a number of Vancouver real estate properties when property prices were much lower than today’s hot market. We expanded our education real estate portfolio to nearly $100 million within 18 months. Rising real estate prices in Vancouver have resulted in the value of our real estate portfolio increasing by approximately $15 million in 1.5 years. Despite this, management recognizes that CIBT’s shares have underperformed. To address this issue, we are taking several steps to remedy the situation. Management continues to identify business opportunities, and this private placement will, in part, provide funds to enable CIBT to pursue deals on which terms can be successfully negotiated.”

CIBT also reports that it has suspended its normal course issuer bid.

About CIBT Education Group:

CIBT Education Group Inc. is an education management company focused on the global education market since 1994. Listed in Canada on the Toronto Stock Exchange and in the U.S on the OTCQX International, CIBT owns and operates a network of business, technical and language colleges in North America and Asia. CIBT offers cooperative joint programs in 12 countries with campuses, recruitment offices and training centers enrolling over 7,000 students annually. Its education business is operated through Sprott Shaw College (established in 1903), Acsenda School of Management, CIBT School of Business China, and Global Education Alliance Recruitment Centers in China and other overseas countries. Through these subsidiaries, CIBT offers Western and Chinese accredited business and management degrees, programs in college preparation, healthcare, hotel management and tourism, English language training, English Teacher Certifications, junior and high school preparation programs for overseas study, and other career/vocational training. CIBT also owns Irix Design Group, a leading design and advertising company based in Vancouver, Canada, Global Education Alliance (“GEA”) and Global Education City Holdings Inc. (“GEC”). GEA recruits international students for many elite kindergarten, primary, secondary schools and universities in North America. GEC is an investment holding and management company with a special focus on education related real estate projects in Canada. Visit us online at

For more information contact:

Toby Chu

Vice-Chairman, President & CEO

CIBT Education Group Inc.

Investor Relations Contact:1-604-871-9909 extension 318 | Email:


Some statements in this news release contain forward-looking information (the “forward-looking statements”) about CIBT Group and its future plans. Forward-looking statements are statements that are not historical facts. The forward-looking statements in this news release are subject to various risks, uncertainties and other factors (collectively, “Risks”) that could cause the company’s actual results or achievements to differ materially from those expressed in or implied by forward-looking statements. With respect to the statement in this news release as to the expected number of job openings in B.C. by 2022 in the areas of skilled trades and technical occupations, the Risks include uncertainties as to the actual development of the B.C. economy. Forward-looking statements are based on the beliefs, opinions and expectations of CIBT Group’s management at the time they are made, and CIBT Group does not assume any obligation to update its forward-looking statements if those beliefs, opinions or expectations, or other circumstances should change, except as may be required by law.

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