Mergers & Acquisitions Advice in Connection with the Acquisition of a Group of Day Care Centers on Behalf of a European Player in the Early Childhood Sector

Mandate description

Mandate of Buying Advice And of Regional and International Expansion Strategy Led to a Major player in the early childhood sector in France.

The intervention focused on the Acquisition of a group of 10 to 15 host establishments Located in the west of the country, as well as on theAcquisition of a second group of 5 to 10 structures in the Central region.

The mandate also included the Preparation for the opening of new nurseries in Central Europe, as part of the European Deployment Of the company.

Key issues

The main challenge lay in the Simultaneous coordination of several acquisition operations, while ensuring the Operational Continuity of the existing network.
In addition to financial and strategic aspects, the mandate required a Integrated Management of Legal, Fiscal and Regulatory Dimensions Linked to each transaction.
The work covered in particular the Review of the Main Conventions(term sheets, SPA, asset and liability guarantees) and the Compliance with local regulations.

On the financial side, Multiples observed in the early childhood sector Were Generally Between 4x and 7x EBITDA, according to the Geographic Location, tea Quality of the premises, and the Possible presence of real estate assets within the scope of transactions.
These elements made it possible to contextualize market valuations and to fuel strategic discussions without establishing an independent and valuable opinion.

The analysis of Financial data available, tea Consolidated Profitability Review And theEconomic Synergies Study Made it possible to obtain a thorough understanding of Performance levers And Areas of Value Creation.
La Geographic and Regulatory Diversity Of Assets Imposed a Differentiated approach, integrating the local, legal and social specificities specific to each territory.

Approach and results

The intervention consisted of Assist Financial Management and Development Management In the analysis of the targets' accounts, the post-acquisition impact modeling And the Preparation of financing applications.

One Close Coordination with Legal and Tax Advice Has AllowedAlign Economic and Contractual Dimensions Of each transaction.

The work contributed to structure takeover operations, to Securing Negotiation Processes, and to Support the management In the implementation of the Integration plan.All the acquisitions made it possible to Strengthen the geographical presence of the group And ofIncrease its competitive position On the French and European market for Early Childhood Services.