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Child care firm is part of merger worth $1 billion

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Author: 
Statesman Journal
Format: 
Article
Publication Date: 
10 Nov 2004

 

EXCERPTS

Privately held Knowledge Learning Corp., whose majority is owned by Michael Milken and his brother, Lowell, said that it will acquire Portland-based KinderCare in a deal worth $1 billion.

The deal, expected to be completed by the year's end pending regulatory approval, would combine two of the nation's largest child-care-center operators.

The deal includes $550.3 million, or about $25.94 per share, in cash for all of KinderCare's stock plus the assumption of $490 million in debt. In Monday's over-the-counter Bulletin Board trading, KinderCare's thinly traded shares rose $12.75 and closed at $24.75.

The combined company would have 1,980 centers serving more than 200,000 children and employing 45,000 workers, nearly tripling Knowledge Learning's current reach.

- reprinted from the Statesman Journal

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