Embark announces new centre acquisitions and interim dividend

ASX listed early childhood education and care provider Embark Early Education has confirmed the acquisition of two additional early learning centres in Queensland and the declaration of payment of an interim dividend, as part of its ongoing operational and financial activities.

The announcement follows a strong start to 2024, with Managing Director Chris Scott noting that “continued centre growth and operational performance are key drivers of our value creation strategy, underpinned by disciplined financial management and a commitment to quality early education.”

Embark has entered into conditional contracts for the acquisition of two centres with a combined 180 licensed places. 

The acquisitions, are expected to settle between late May and early July. 

The total purchase price of $3.7 million will be funded via a drawdown on existing bank facilities, with the assets expected to contribute $923,000 in annual EBITDA. 

These additions will bring the Group’s network to 40 centres, up from 24 at the beginning of 2024.

In line with its capital management strategy, Embark’s Board has approved an interim dividend of 1.5 cents per share, payable on 17 June 2025. 

This follows previous quarterly dividend payments and reflects the company’s current financial performance and earnings position.

In his address to shareholders at the Annual General Meeting (AGM), Chairperson Hamish Stevens reinforced the company’s long-term confidence in the early education sector and its intention to remain a leader in both quality provision and governance stating:

“Our strategy is centred on building scale sustainably, investing in people and communities, and delivering meaningful outcomes for all stakeholders children, families, educators, and shareholders,” 

Mr Stevens confirmed that Embark is in the final stages of securing a long-term debt facility to support ongoing acquisition activity, aligning with the Group’s disciplined approach to growth.

To review the dividend announcement and acquisitions, click here and dividend distribution click here.