Mayfield confirms acquisition of two ECEC centres from strategic partner Genius

Mayfield Childcare has confirmed the purchase of two early childhood education and care (ECEC) centres from strategic partner, and substantial shareholder, Genius Learning. 

 

The deal increases the Mayfield network to 38 centres across Queensland, Victoria and South Australia and is consistent with previous acquisitions whereby Mayfield acquires ramped up centres from the incubator pipeline of Genius. 

 

“The company is pleased to have negotiated an all cash transaction for two high performing centres, on terms comparable to market and consistent with our strategy to purchase centres within regional clusters,” Ashok Naveinthiran, CEO said. 

 

One of the centres located in Sandringham, VIC currently is trading at 86 per cent occupancy across its 60 places, and the other, located in Home Hill, QLD, is trading at 78 per cent occupancy across its 80 places.

 

Both were acquired for a total of $2.4 million representing a 5.0 multiple on anticipated earnings of $485,000 in 2023. 

 

The centres were purchased using cash drawn from existing debt facilities.