Case Studies

Sale of childcare centres to ASX-listed company

Piper Alderman advised the owner of Genius Learning group on the sale of 14 premium childcare centers to ASX-listed Mayfield Childcare Limited (ASX:MFD) for up to $39.2 million.

Team: Carlyna Chhen, Hugh Scales, Andrew Cutler

Service: Corporate & Commercial | Leasing | Mergers & Acquisitions | Property Transactions
Sector: Education

Genius Learning is a national provider of premium early education and care services for pre-school aged children operating under the Genius Childcare brand, with a significant portfolio of purpose-built childcare centres across Australia.

The 14 childcare centres sold to Mayfield are in the south and east of the country, with 5 in Victoria, 8 in Queensland and 1 in South Australia.  As part of the transaction, Genius Learning and Mayfield also entered into a 5-year incubator agreement whereby Genius Learning will identify, develop and trade-up childcare centres for sale to Mayfield.

­Piper Alderman advised the owner of the Genius Learning group on the sale of the 14 premium childcare centres to ASX-listed Mayfield Childcare Limited (ASX: MFD) for up to $39.2 million, to be paid partly in cash and partly in Mayfield shares.

The Piper Alderman team advised on all aspects of the transaction, including the preparatory internal restructure of the Genius Learning group, property lease and transitional services arrangements for the Genius Learning childcare centres, and licensing of the Genius Childcare brand and other intellectual property.

The team was well-positioned to oversee the deal due to its experience in mergers and acquisitions.

Client feedback

Pat Allan, General Counsel and Head of Transactions of Genius Group said:

“The Genius Group was very excited to have completed this transaction and to establish a strong relationship with Mayfield Childcare.  Importantly, the incubator relationship between Genius and Mayfield provides the Genius Childcare brand with a secure long-term position in the industry.  Hugh and the team at Piper Alderman tackled the various complexities of this transaction with outstanding commitment and we look forward to working together again.”