Business case
Our client, a private equity firm, was seeking to invest in a leading French nursery operator with operations in France, the UK, Singapore, the Middle East and North America.
For each relevant geography, we provided the client with detailed insights on regulations for the childcare industry, the advantages and disadvantages of different childcare operating models, and the financial and operational performance of local competitors.
We were engaged to provide a clear segmentation of the market landscape, as well as the positioning of the acquisition target within the local markets. We also highlighted critical government regulations and dynamics in the local markets that would have an impact on the business plan assumptions for the target. We worked with our client’s investment banker to review and assess the main business plan assumptions, proposing adjustments across the main areas of the BP, notably on the top line (occupancy rate, commercialisation rate, average price per place depending on type of nursery, etc.) and on the bottom line (opex / capex, including payroll developments, rents, additional staff to be hired to match regulatory standards, etc.).