smh:
ABC Learning Centres has snapped up US-based child-care services provider La Petite Academy for about $US330 million ($420 million).
The acquisition will make ABC Learning, which is the world’s largest publicly-traded child-care provider, the 2nd biggest private child-care provider in the US.
The company has also announced 2 other agreements, including the purchase of UK-based Busy Bees Group Ltd for 71 million pounds ($178 million), and the $65 million acquisition from Macquarie Leisure Services Pty Ltd of 49 child-care centres in New Zealand, and 6 in Australia.
‘The total cost of the all-cash acquisition is approximately $680 million,’ the company said. The news sent ABC Learning shares up 9% to $8.54 at 1.20pm. It plans to finance the deals through a new debt facility provided by Westpac, the Commonwealth Bank, Bank of America and Goldman Sachs.
As a result of the acquisitions, ABC has bumped up its earnings forecast for 2006-07.
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