By Madelaine B. Miraflor
Far Eastern University, Inc. (FEU) and Technological Institute of the Philippines (TIP) have entered into a joint venture agreement to establish a new corporation that will build and operate a school for senior high school students.
A disclosure to the Philippine Stock Exchange revealed that FEU and TIP are now planning to set up a work ready senior high school to be located within or near Technology Industrial Parks and to serve the personnel needs of its locators.
The first school is targeted to start June 2020 upon approval of regulators, like Department of Education, Securities and Exchange Commission (SEC), and others with respect to operational permits.
Right now, the two companies are still negotiating the terms and conditions of the deal, withholding the announcement of how much investment the joint venture would make in order to proceed with their plans.
Provisions on profit-sharing, arrangements on management, and operations are also still being negotiated.
The joint venture agreement, however, specified that whatever will be agreed upon, FEU should have an equity interest "not less than 50 percent" in the company that will be established.