Who is buying child care centers?
17 named consolidator platforms are actively acquiring US child care businesses; 14 of them are private-equity-backed. Typical child care acquisitions price at 2x-6x EBITDA (2.3x-3.8x SDE for smaller owner-operated businesses), per published ranges from Midwest Brokers, Little Scholars Real Estate and others. The most recent named acquisition tracked on this page closed in September 2026.
Why child care centers are consolidating
- •KinderCare estimates that the five largest U.S. providers, itself included, held only about 6% of total center-based child care capacity as of January 3, 2026, according to KinderCare's fiscal 2025 Form 10-K.
- •The share of U.S. center-based child care workers employed at private-equity-owned providers rose from under 1% in 1997 to around 9% by 2010 and nearly 10% by 2024, according to Brown and Herbst's August 2026 study "Big Daycare."
- •Private equity firms back 8 of the 11 largest U.S. child care chains, and PE firms or PE-backed companies were involved in more than one-third of early childhood education deals worldwide in the first half of 2025, according to Navagant's Q3 2025 Early Childhood Education report.
- •Early childhood education deal volume rose 27% from 2023 to 2024, and grew at about 19% a year over the five years from 2020, according to Navagant's Q3 2025 Early Childhood Education report.
- •Of the 16 U.S. child care organizations with licensed capacity of at least 15,000, 13 have had current or past private equity investment, and together those 13 were licensed to serve roughly 1 million children, according to the Congressional Research Service (October 2024).
The platforms consolidating child care centers
The named groups acquiring US child care businesses, with their current owner and a source for each. Most grow through individual partnerships that are not separately disclosed; where a platform publishes named deals, recent ones are listed.
| Acquirer | Owner / backer | Type | Headquarters | Latest named deal |
|---|---|---|---|---|
| KinderCare Learning Companies | Public (NYSE: KLC); Partners Group affiliates hold 68.8% | Strategic / public | Lake Oswego, OR | — |
| Cadence Education | Apax Partners (Apax Funds) | Private equity | Scottsdale, AZ | Jun 2026 |
| Busy Bees North America | Busy Bees Group: Ontario Teachers' Pension Plan (majority), Temasek (strategic minority), management | Private equity | Toronto, ON | Feb 2026 |
| Learning Care Group (now branded Learning Care) | American Securities | Private equity | Novi, MI | Jun 2026 |
| Big Blue Marble Academy | Leeds Equity Partners | Private equity | Atlanta, GA | Mar 2025 |
| Small Miracles | Traverse Pointe Partners | Private equity | Not disclosed (Arizona home state) | Jan 2026 |
| First Learning | Privately owned (David Kolczynski, President & CEO) | Strategic / family-owned | Rochester, NY | Apr 2026 |
| Pathlight Learning | Taurus Capital Partners | Private equity | Not disclosed | Sep 2026 |
| Chroma Early Learning Academy | Family owned and operated | Strategic / family-owned | Alpharetta, GA | Sep 2025 |
| O2B Kids (O2B Early Education) | Spire Capital Partners | Private equity | Gainesville, FL | May 2025 |
| Fractal Education Group | Fractal Holdings | Private equity | Southlake, TX | Jul 2026 |
| The Nest Schools | Rockbridge Growth Equity (strategic investment, Sep 2022) | Private equity | Not disclosed | — |
| Yellow Brick Road Early Childhood Development Center | Avathon Capital | Private equity | Minneapolis, MN | — |
| Magical Beginnings Learning Centers | Avathon Capital | Private equity | Greater Boston Area, MA | — |
| Childcare Network (Child Development Schools) | Glencoe Capital | Private equity | Austin, TX | — |
| Premier Early Childhood Education Partners | Tyree & D'Angelo Partners | Private equity | Chicago, IL | — |
| Spring Education Group | Primavera Capital (majority); Brookfield ($825M investment agreed Jun 2025) | Private equity | Campbell, CA | — |
KinderCare Learning Companies
Strategic / public- Owner
- Public (NYSE: KLC); Partners Group affiliates hold 68.8%
- Headquarters
- Lake Oswego, OR
- Scale
- 1,601 early childhood education centers and 1,153 before- and after-school sites (as of Jan 3, 2026)
The 68.8% is from Partners Group's Schedule 13G as of Dec 31, 2024, repeated in the April 2026 proxy. On Sep 29, 2026 a Partners Group executive, Preston Grasty, rejoined the board as a PG designee (8-K). KinderCare reports acquisitions only as counts, never by name: 26 centers in 24 separate deals in fiscal 2025 ($24.7M total consideration) and 23 centers in 11 deals in fiscal 2024 ($10.9M cash).
Cadence Education
Private equity- Owner
- Apax Partners (Apax Funds)
- Headquarters
- Scottsdale, AZ
- Scale
- 350 schools in 30 states (Jun 2026)
Apax invested in 2020 and still lists the deal as current. Its page still says 'more than 225 centers in 26 states'; the 350-school figure is from Cadence's June 2026 release. Cadence says it completed 19 transactions covering 31 schools in fiscal 2024, mostly unnamed. No month was published for the Ladybug deal; the June 2026 release says only 'recently'.
Busy Bees North America
Private equity- Owner
- Busy Bees Group: Ontario Teachers' Pension Plan (majority), Temasek (strategic minority), management
- Headquarters
- Toronto, ON
- Scale
- 270 centers across the United States and Canada, in 13 U.S. states (Feb 2026)
A foreign-owned platform. Its majority owner is a pension fund, not a PE firm, and it is classed as private equity here. The May 2025 CEO-change announcement names Ontario Teachers' as majority shareholder alongside Temasek. Many U.S. sites operate under the BrightPath brand.
Learning Care Group (now branded Learning Care)
Private equity- Owner
- American Securities
- Headquarters
- Novi, MI
- Scale
- 1,110+ schools in 40 states and Washington, DC
American Securities bought it in May 2014 and lists the investment as current. No 2025–2026 sale or recap was found. Security Benefit Academy was the onsite center of the employer Security Benefit. WIBW calls the deal an acquisition, says it will become La Petite Academy at Security Benefit, and expects the transfer later in 2026.
Big Blue Marble Academy
Private equity- Owner
- Leeds Equity Partners
- Headquarters
- Atlanta, GA
- Scale
- 94 schools across nine states (May 2026)
Leeds bought it from Avathon Capital in Jan 2024, when it had 67 schools in eight states. No 2025–2026 sale was found, and Leeds announced a new CEO for it in June 2025. The Atlanta HQ comes from Mergr's address listing.
Small Miracles
Private equity- Owner
- Traverse Pointe Partners
- Headquarters
- Not disclosed (Arizona home state)
- Scale
- 20 centers: 10 in Tucson, 7 in Phoenix, 3 in Tampa-St. Petersburg (Jan 2026)
Traverse acquired it in Nov 2019. Gingerbread is its first market outside Arizona. Traverse says it was recently recognized as one of North America's 50 largest for-profit child care organizations.
First Learning
Strategic / family-owned- Owner
- Privately owned (David Kolczynski, President & CEO)
- Headquarters
- Rochester, NY
- Scale
- 19 early childhood education centers in New York (Apr 2026)
No outside investor was found. The company says it was named to a Greater Rochester Chamber list of privately owned companies, and its timeline starts with buying three Care-a-lot centers in 2017. The Webster deal converted a Kiddie Academy franchise location to its Care-a-lot brand.
Pathlight Learning
Private equity- Owner
- Taurus Capital Partners
- Headquarters
- Not disclosed
- Scale
- Seven Primrose schools across Oklahoma City, Nashville and Omaha (Sep 2026)
A Primrose franchisee, so it buys existing Primrose schools rather than independent centers. Taurus made its first investment in Aug 2025 and announced it on Sep 10, 2025. Pathlight has also signed to develop 11 more Primrose schools.
Chroma Early Learning Academy
Strategic / family-owned- Owner
- Family owned and operated
- Headquarters
- Alpharetta, GA
- Scale
- 19 locations across metro Atlanta (Dec 2025)
A Feb 2025 release called it the largest privately owned and operated early education company in metro Atlanta. Its Dec 30, 2025 release headline says it has 19 locations; whether the three added after September were acquisitions or openings was not checked.
O2B Kids (O2B Early Education)
Private equity- Owner
- Spire Capital Partners
- Headquarters
- Gainesville, FL
- Scale
- 86 locations in nine states (Jan 2026)
Medium confidence on the owner. Spire invested on Sep 28, 2018 and still lists the investment as Active, but O2B's 2025–2026 releases do not name Spire. The two Jan 2026 Sioux Falls sites were new openings, not acquisitions.
Fractal Education Group
Private equity- Owner
- Fractal Holdings
- Headquarters
- Southlake, TX
- Scale
- Not disclosed
Medium confidence on the backer. Fractal Holdings calls itself a private equity group that builds acquisition platforms, education among them. It lists John Rosen as a managing partner, he is Fractal Education's CEO, and both companies give the same Southlake, TX address. No investment announcement ties them. In the Houston deal Fractal bought both the operating company and the real estate.
The Nest Schools
Private equity- Owner
- Rockbridge Growth Equity (strategic investment, Sep 2022)
- Headquarters
- Not disclosed
- Scale
- About 60 schools in nearly a dozen states (Sep 2026)
Added in this pass. Rockbridge announced a 'strategic investment' in Sep 2022, when Nest had 36 centers, and did not disclose the stake size. The Daily Herald said in Sep 2026 that Rockbridge still backs it. Chalkbeat reports Nest bought a Highlands Ranch, CO center from a small local company in July 2024 but does not name the target. Nest runs a school-acquisitions page.
Yellow Brick Road Early Childhood Development Center
Private equity- Owner
- Avathon Capital
- Headquarters
- Minneapolis, MN
- Scale
- 25 centers across Minnesota, Nebraska and Iowa (Feb 2025)
Avathon's third early-childhood platform; Monroe Capital supplied senior debt and an equity co-invest. No U.S. add-on was found. A Navagant/PitchBook row (Beacon Hill Day Nursery to 'Yellow Brick Road Daycare', Dec 2025) appears to be a similarly named UK company and was excluded.
Magical Beginnings Learning Centers
Private equity- Owner
- Avathon Capital
- Headquarters
- Greater Boston Area, MA
- Scale
- Seven schools (Jan 2024)
No add-on acquisitions were found since Avathon's Jan 2024 investment. Avathon's Nov 2025 report still lists it in the portfolio. The school count is from 2024 and may be out of date.
Childcare Network (Child Development Schools)
Private equity- Owner
- Glencoe Capital
- Headquarters
- Austin, TX
- Scale
- More than 260 child care centers across 11 states
Glencoe invested in May 2006 and still lists it above its 'former portfolio companies'. Glencoe's page gives the HQ as Columbus, GA, but the company's own site now says Austin, TX. Brands are Childcare Network, Sunrise Preschools and My Small Wonders. It says it grows by partnering with owners, but no dated 2024–2026 acquisition was found.
Premier Early Childhood Education Partners
Private equity- Owner
- Tyree & D'Angelo Partners
- Headquarters
- Chicago, IL
- Scale
- 125 centers, 20,000 licensed capacity (CRS, 2024)
Tyree & D'Angelo bought it in Dec 2018, per Preqin. The company says it 'acquires and partners with centers nationwide' but publishes no dated deals. The scale figure is from 2024.
Spring Education Group
Private equity- Owner
- Primavera Capital (majority); Brookfield ($825M investment agreed Jun 2025)
- Headquarters
- Campbell, CA
- Scale
- 190 fully owned and operated schools across 19 states
Mainly a PreK–12 private-school operator, so child care centers are only part of what it buys. The company footer says it is majority-owned by funds administered by Primavera. Financial News reported Brookfield's $825M investment in June 2025, and the structure was not checked. No dated 2024–2026 child care acquisition was found.
Selling in your state?
What child care businesses sell for, who is buying, and how many there are, state by state.
Frequently asked
Who is actively buying child care centers right now?
By deal count, the biggest buyer is KinderCare. Its 10-K reports 26 centers bought in 24 separate deals in fiscal 2025 and 23 centers in 11 deals in fiscal 2024. Cadence Education (Apax Partners) says it completed 19 transactions covering 31 schools in 2024, then bought the nine-school Especially for Children group in Minnesota in June 2026. Busy Bees North America bought 13 Seattle-area schools in February 2026. Learning Care Group, Big Blue Marble Academy, Small Miracles, Fractal Education and the Primrose franchisee Pathlight Learning have each announced deals since 2024.
What multiple will my child care center sell for?
Midwest Brokers says most single-site centers sell for about 2.25x to 3.75x SDE, with owner-heavy centers at the low end (2.25x to 3.0x). Little Scholars Real Estate puts a single site at 2.5x to 4.5x SDE, which it equates to roughly 2x to 4x EBITDA. DealStream says child care businesses commonly sell for 2x to 4x EBITDA, and YourExitValue cites 4x to 6x. For larger groups, Midwest Brokers cites about 4.0x to 5.5x EBITDA, and Little Scholars puts platforms of five or more centers at 4.5x to 6.5x. Size and management depth explain most of the spread.
What raises or lowers my center's price?
YourExitValue says centers with 90%+ enrollment, staff turnover below 25%, top-tier quality ratings and director-level management reach 5x to 6x EBITDA, and centers where the owner also teaches get 15–25% lower multiples. Midwest Brokers lists owner dependence, occupancy below 80%, high staff churn, repeated licensing citations, a short lease or weak site control, and deferred maintenance as the main things that cut the price.
Should I sell my building with the business?
The building and the business are valued separately. Little Scholars Real Estate says to deduct a fair market rent from SDE before applying the business multiple, then value the building on that rent. Buyers handle it both ways. Cadence Education bought both the operating company and the real estate of East Cobb Prep near Atlanta (December 2025), and Fractal Education did the same with Houston-area Little Learning Academy (July 2026). In SchoolWise Partners' Project Zone (October 2025), a regional real estate investment group bought eight Austin-area school properties while the operator kept the business under new long-term triple-net leases.
Are most buyers private equity firms?
Mostly, yes. Navagant reports that private equity backs 8 of the 11 largest U.S. child care chains. The Congressional Research Service found that 13 of the 16 U.S. child care organizations with at least 15,000 licensed slots have had PE investment. Brown and Herbst found that nearly 10% of center-based child care workers are at PE-owned providers, up from under 1% in 1997. Smaller PE firms buy too: Traverse Pointe (Small Miracles), Avathon Capital (Yellow Brick Road, Magical Beginnings), Taurus Capital (Pathlight Learning) and Rockbridge Growth Equity (The Nest Schools). So do family-owned and privately owned groups such as Chroma Early Learning Academy in Georgia and First Learning in New York.
Is the child care market already consolidated?
No. KinderCare estimates that the five largest providers, itself included, held about 6% of U.S. center-based capacity as of January 2026. Both KinderCare's and Bright Horizons' 10-K filings describe the market as highly fragmented.
Methodology & sources
Compiled October 5, 2026 and checked line by line against primary sources in the same session. Sources were buyer and sponsor press releases and portfolio pages, SEC filings (KinderCare 10-K, 2026 proxy and Sep 2026 8-K; Bright Horizons 10-K), sell-side advisor announcements (HINGE, SchoolWise), Navagant's Q3 2025 report with its PitchBook-sourced deal tables, the 2024 CRS insight and the 2026 Brown & Herbst study. Each named owner was checked for a 2025–2026 sale, recap or merger. The deals list covers only named U.S. targets announced or closed in 2024–2026. Unnamed targets, individual franchise resales and new-site openings are excluded. The list is not a census: KinderCare alone did 24 unnamed deals in 2025, and most small-center sales are never announced.
Multiple sources
- Midwest Brokers, Daycare and Childcare Center Valuation (Indiana, 2026) ↗
- Little Scholars Real Estate, How to Value a Daycare Business (2026) ↗
- DealStream, Child Care Business Valuation Rules of Thumb ↗
- YourExitValue (John Salony, M&A advisor and licensed business broker), Daycare Business Valuation ↗
Market sources
- KinderCare Learning Companies, Form 10-K for fiscal 2025 ↗
- Brown & Herbst, "Big Daycare: The Growth of Private Equity in the U.S. Child Care Market" (Aug 20, 2026) ↗
- Navagant, Early Childhood Education Sector Update Q3 2025 ↗
- Congressional Research Service, Private Equity Investments in Large For-Profit Child Care Providers (IN12443, Oct 31, 2024) ↗
Last updated October 6, 2026. Platform ownership last verified October 6, 2026. Ownership in this sector changes frequently; figures reflect the most recent public sources available and are not investment, legal, or tax advice.
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