CALGARY, July 21 /CNW/ - Edleun Group, Inc. (TSX-V: EDU), a leading consolidator and developer of child care facilities across Canada, announced today that it has entered into definitive agreements to acquire six additional childcare centres in Alberta. Having already completed the acquisition of 11 Alberta centres in May 2010, Edleun will now own or have agreements in place to acquire 17 centres in total. These additions to a rapidly growing portfolio make Edleun one of Canada's leading childcare operators in a fragmented industry that includes an estimated 8,800 centres across the country. Edleun's extensive pipeline of potential acquisitions and newly-developed centres should allow it to become a much larger player in this industry.
"This six centre acquisition will allow us to advance our growth strategy through the consolidation of independent centres under the Edleun operating brand as part of our mission to bring enhanced quality to childcare in Canada," said Leslie Wulf, Chief Executive Officer of Edleun. "Edleun's experienced management team has identified a considerable number of childcare centres across Canada that meet its criteria, and plans to acquire and develop a portfolio of quality facilities delivering the highest standards of care and education. We are also actively pursuing the development of new "State of the Art" child care centres in a number of Calgary and Edmonton residential communities where there are no childcare facilities currently."
All six centres will be acquired for a total purchase price of $7.1 million. The Company is acquiring both the real estate and childcare operations at five of the centres; the acquisition of the sixth centre includes the childcare operations and a long-term leasehold interest in the real estate, with Edleun obtaining a right of first refusal to purchase that real estate. The acquisition of these six centres will add 467 licensed childcare spaces to the Company's portfolio and will increase the total to 1,568 spaces in 17 centres. The closing of these acquisitions is scheduled to occur in the next 30 days, and is subject to certain conditions precedent, and there can be no assurance that these acquisitions will be completed, or if completed, what the final terms will be.
Edleun began implementing its acquisition and new development growth strategy in May 2010 when it completed a $40.7 million equity financing and acquired 11 centres in Alberta. These centres, located primarily in Calgary and Edmonton, are presently undergoing a full remodelling and upgrading process as well as the implementation of an education curriculum and nutritious meal programs. The Company expects this first group of remodelled centres to be completed in the third quarter of calendar 2010. All acquired centres will undergo this upgrading process to ensure they meet Edleun's high standards.
About the Company
Edleun is a leading provider of high-quality, educational childcare in Canada. The Company is committed to providing children, families and employers with access to, and choice of, quality early childhood education programs, helping Canadians balance their work and family lives.
Edleun's goal is to become the leading educational and childcare provider in Canada. The Company's objectives include the acquisition and improvement of existing childcare centres and development of new childcare centres across Canada.
Certain statements in this Release which are not historical facts may constitute forward-looking statements or forward-looking information within the meaning of applicable securities laws ("forward-looking statements"). Any statements related to Edleun's projected revenues, earnings, growth rates, revenue mix, staffing and resources, and product plans are forward looking statements as are any statements relating to future events, conditions or circumstances. The use of terms such as "believes", "anticipated", "expected", "projected", "targeting", "estimate", "intend" and similar terms are intended to assist in identification of these forward-looking statements. Readers are cautioned not to place undue reliance upon any such forward-looking statements. Such forward-looking statements are not promises or guarantees of future performance and involve both known and unknown risks and uncertainties that may cause the actual results, performance, achievements or developments of Edleun to differ materially from the results, performance, achievements or developments expressed or implied by such forward-looking statements. Forward-looking statements are based on management's current plans, estimates, projections, beliefs and opinions. Except as required by law, Edleun does not undertake any obligation to update forward-looking statements should assumptions related to these plans, estimates, projections, beliefs and opinions change.
The Company undertakes no obligation, except as required by law, to update publicly or otherwise any forward-looking information, whether as a result of new information, future events or otherwise, or the above list of factors affecting this information. Many factors could cause the actual results of Edleun to differ materially from the results, performance, achievements or developments expressed or implied by such forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE BrightPath Early Learning Inc.
For further information: For further information: please contact Leslie Wulf, Chief Executive Officer of Edleun Group, Inc. at (403) 800-0890