Investor AB, a well-known Swedish holding company that is targeting education investments, has purchased a 5 percent stake in Sylvan Learning Systems Inc. of Baltimore.

Stockholm-based Investor holds stakes in some of Sweden's largest multinational companies, including Astra AB, Ericsson LM Telephone Co. and Scania AB. Several years ago, the investment company decided to diversify into small and medium-size businesses engaged in the health care, information technology and education fields.

While the holding company has built up a number of U.S. technology investments, Sylvan is one of its first education purchases, according to documents filed with the U.S. Securities and Exchange Commission.

Analysts say Investor AB made a wise choice because they see quick growth for Sylvan's $400 million annual revenue.

"Given the opportunities they have and their management," Sylvan "is one of our prime candidates to become a billion-dollar revenue company over the next few years," said Keith Gay, an analyst at NationsBanc Montgomery Securities in San Francisco.

Pub Date: 10/07/98