KinderCare Learning Companies, the largest private provider of early childhood education and care services in the US, filed on Friday with the SEC to raise up to $105 million in an initial public offering. However, this is likely a placeholder for a deal that we estimate could raise up to $500 million. The company had planned to raise $503 million in November 2021 by offering 25.8 million shares at a price range of $18 to $21, but postponed shortly after and officially withdrew in July 2023.
KinderCare is the largest private provider of early childhood education and care services in the US by center capacity. The company serves children ranging from 6 weeks to 12 years of age across its market leading footprint of 1,500 early childhood education centers with capacity of more than 200,000 children and contracts for more than 900 before- and after-school sites located in 40 states and the District of Columbia as of June 29, 2024. KinderCare operates all of its centers under the KinderCare brand and utilizes a consistent curriculum and operational approach.
The Oswego, OR-based company was founded in 1969 and booked $2.6 billion in revenue for the 12 months ended June 30, 2024. It plans to list on the NYSE under the symbol KLC. KinderCare Learning Companies filed confidentially on July 26, 2024. Goldman Sachs, Morgan Stanley, Barclays, J.P. Morgan, UBS Investment Bank, Baird, BMO Capital Markets, Deutsche Bank, and Macquarie Capital are the joint bookrunners on the deal. No pricing terms were disclosed.
