By TEH SHI NING

CATALIST-LISTED TMC Education Corporation is looking to expand both locally and in markets such as China and Vietnam, chairman and CEO Chin Kon Yuen said.

Consolidation in the private education industry, widely anticipated to result from stricter laws now governing the sector, is now underway, Dr Chin told BT in an interview.

TMC itself is considering the possibility of merger with other local firms.

'We are always looking to expand, but without diluting or degrading the quality of education. This could be through a merger with a partner with whom we feel we have synergies,' Dr Chin said.

Several smaller private schools have already changed hands in the past few months, he said. This comes in the wake of stringent requirements set by the new Council of Private Education (CPE) private schools must register with.

'We hope for positive results from these CPE changes. It is not our hope to see other players close down, but to see quality improvements across the board instead,' said Dr Chin.

TMC Academy is among 62 of the 1,000 private schools here which have qualified so far. It is also one of the 13 which have earned the higher-level Edutrust mark that allows enrolment of foreign students.

Foreign students make up about 60 per cent of TMC's current enrolment of 1,400 students, most of whom come from China, Vietnam, Indonesia and other Asian countries.

It has two campuses in Peninsula Plaza and Capitol Centre, but the latter will relocate to Bishan by the fourth quarter of this year. The new campus, previously an office block, will have more facilities, training rooms and a roof-top garden.

As for expansion abroad, TMC's knowledge of China's market makes it a first choice, Dr Chin said.

TMC already has a joint venture with Lorna Whiston managing a childcare centre in Shenyang, and a recruitment office in Beijing. It entered Xi'an as a franchisee in 1999 but acquired majority interest in 2004 after the franchisor ran into problems, and saw the final batch of students through, closing in 2006.

But TMC is also looking for opportunities in Vietnam, as it has established links with officials there.

The company's revenue grew 4.3 per cent to $6.9 million for the six months ended Dec 31, 2009, while net profit of $48,000 turned around from loss of $0.4 million one year before. TMC shares last closed at 5.5 cents.

This article was first published in The Business Times.