North West Group of 5, Network Nurseries Limited sold to the MiChild Group
29th April 2020
This is another landmark deal completed by Redwoods Dowling Kerr. RDK have successfully sold Network Nurseries Limited, a group of 5 revered childcare settings located across Greater Manchester and Cheshire. The nurseries successfully operate across 1 freehold and 4 leasehold settings.
Network Nurseries Limited was established by two ambitious industry-leading operators, Mrs Barbara Johnson and Mrs Brenda Wolstenholme. They began their journey as business partners in the childcare sector in 1991, by acquiring their first setting. Since then, they have acquired 4 additional settings over the years, and they have truly consolidated their presence in this competitive sector.
The nurseries have a combined capacity for 287 children, and each setting benefits from its own robust organisational structure and team of dedicated and highly qualified staff. In the company’s latest Ofsted ratings, each high-quality childcare setting earned a ‘Good’ report.
It is difficult to decide to walk away from a business when it is at the top of its sector. After a long period of contemplation, Barbara and Brenda ultimately decided that now was the right time for them to retire. Their group of businesses is very successful, and benefits from limited competition, however they realised that they had definitely achieved everything that they wished to achieve.
Now they wish for a new operator to take control of the settings, and to introduce their own unique ideas to the businesses. They want them to rejuvenate and refresh their business and to continue to operate the nurseries to an exceptional standard. Coming to this conclusion, they approached Redwoods Dowling Kerr to facilitate the sale, and to find them the right buyer. Once they brought it to market, the business gained multiple offers with completion taking place to the MiChild Group within just four weeks.
It was swiftly acquired by Mr Joel Selvadurai of the MiChild Group, an investment purchaser who has a strong presence in the childcare sector. Joel is also a returning client to Redwoods Dowling Kerr, having already used their services to acquire four other nursery opportunities with further acquisitions already in the pipeline.
The vendors, Barbara Johnson and Brenda Wolstenholme commented;
“The RDK experience was a whirlwind of communication, data sharing, telephone calls, explanations in a very short space of time. Under pressure the RDK team did not let us down and retained control and essential guidance through the process. The level of service was excellent. The feelings on completion were relief and amazement that in spite of Covid 19 we had completed at all, then a low level of hysteria! We would certainly recommend RDK to any other potential clients.
The buyer, Joel Selvadurai commented;
“I am pleased to announce that MiChild Group has completed its acquisition of Network Nurseries Limited, operator of 5 day care nurseries in the North West of England. Thank you for all your hard work and effort to make this transaction happen. We very much look forward to working with the team at Network Nurseries in the coming weeks and welcome them to the MiChild family.
Matthew Scott, Vincent’s Solicitors commented:
“I am delighted to have assisted in completing the sale of Network Nurseries Limited in the short time frame and wish the vendors all the very best with their retirement. Whilst there was a number of complicating factors through-out the deal we managed to conclude the transaction in a four week period”
Lead Negotiator Sarah Ellison commented;
“It was a big decision for the vendors to sell their group of Day Nurseries after 19 years of hard work to establish such a great group. It was a pleasure to be their chosen agent knowing this would have a difficult decision and finding them the right buyer was key. The sellers met Mr Joel Selvadurai who is the owner a group of 4 childcare setting within the greater Manchester area and they instantly all felt their nurseries would be a great addition to the expansion of the MiChild LimitedGroup. “
“We have worked with Mr Selvadurai on 4 other occasions and highly recommend his approach and commitment to the purchase. The transaction completed in just under 4 weeks even with the difficult and uncertain time Mr Selvadurai and his team worked tirelessly to ensure the sale completed. We are confident Joel and his team will continue the success of Network Nurseries limited and wish him all the best and we wish our seller a very happy retirement.”