Taaleem Holdings to acquire 95% stake in Kids First

Taaleem Holdings signs agreement to acquire a controlling stake in Kids First: DFM-listed education provider Taaleem Holdings signed a sale and purchase (SPA) agreement to acquire 95% of GCC early education provider Kids First Group, according to a bourse disclosure (pdf). The transaction is expected to be completed in 4Q of FY 2024/2025, pending regulatory approvals, and will be financed through a mix of debt and equity.

Post-acquisition, Kids First will operate as a standalone unit within Taaleem’s business. The company’s founder and CEO Kamil Najjar (LinkedIn) will hold the remaining 5% stake, while maintaining his role as CEO.

Impact on Taaleem’s business: This acquisition is set to benefit Taaleem’s cashflow and earnings profile immediately, the statement read, and also aligns with its aims to expand into the early education sector to bolster its current K-12 portfolio.

About Kids First: Established in 2011, Kids First is owned by French firm People & Baby and operates in Dubai, Abu Dhabi, and Doha through a network of 34 nurseries, serving more than 5k students.

ADVISORS- Taaleem Holdings appointed Deloitte as its financial advisor and Freshfields Bruckhaus Deringer as legal advisor. People & Baby Group tapped Centerview Partners for financial advisory and Linklaters for legal, according to another statement picked up by Zawya.

The latest in an expansion drive: Taaleem Holdings plans to open two Harrow International Schools in Dubai in 2026. Elsewhere, it inked a separate agreement to acquire land and property assets in Emirates Hills in Dubai to develop a new campus for its Dubai British School – Emirates Hills. The firm plans to invest AED 750 mn to build four schools in Abu Dhabi and Dubai over the next three years.

Market reax: Taaleem’s shares rose 5.56% to close at AED 3.8 yesterday.