1 Asset Management has established a Education Infrastructure Fund

2024 10 22

1 Asset Management has established the Education Infrastructure Fund, which will invest in private schools and other education-related infrastructure in Lithuania and other Baltic countries.

“The fund’s goal is to contribute to the development of quality educational infrastructure that meets the growing needs of society and ensures an attractive return on investment in the long term. By the end of this year, we plan to invest about 8 million euros in the acquisition of two educational facilities. These investments will not only improve the quality of education but also have a positive impact on the economy and social well-being of the regions. While the first investments will be realized in Vilnius, the fund is actively seeking investment opportunities throughout Lithuania,” said Ieva Belickaitė, a representative of 1 Asset Management.

The first fund investment will be directed towards the construction of the Northern Lyceum private school in Vilnius. The school plans to open its doors to students in the autumn of 2025. The total project value is around 16 million euros. The fund will be distributed by the investment banking company Orion Securities.

“Good private schools are characterized by parental loyalty and low student turnover, in addition to securing operating capital through advance payments, which adds extra assurance for investors,” noted I. Belickaitė from 1 Asset Management.

The idea for the education fund was initiated by the team at Marius Jakulio Jason’s family office Taurus Wealth. The establishment of the fund was prompted by high investor interest in this niche investment opportunity. The goal is to make this exclusive opportunity to invest in schools and children’s futures accessible to a wider circle of investors.

“Investing in education can be classified as a non-cyclical asset class, regardless of the economic situation, parents will always want to provide the best possible education for their children. Even in our first investment in a private school, we noticed that investors are eager to invest not only for the attractive returns generated but also for the socially responsible aspects of the project,” said Mindaugas Strėlis, head of Taurus Wealth.

Taurus Wealth has already implemented one educational project—the private Erudito school on Aguonų Street in Vilnius. The total value of this project was nearly 18 million euros.

Securing suitable facilities in good locations, fitting them out, and acquiring modern teaching equipment that meets the highest educational standards often requires significant capital, which even well-established and recognized schools may lack. Here, collaboration with the fund can help visionaries in the education market to grow, expand, and establish new schools and kindergartens, thereby meeting the growing societal demands for top-level education. The professional fund team not only helps assess the potential profitability of a project but also creates financial models, organizes financing from both banks and private investors, and closely works with the school’s team to understand their specific educational vision and needs.

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