NDO.ASX: Two Incubator Child Care Services acquired for $6 million

Two Incubator Child Care Services acquired for $6 million

Stock	Nido Education Ltd (NDO.ASX)
Release Time	8 Dec 2025, 9:42 a.m.
Price Sensitive	Yes

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Nido Education acquires two child care services for $6 million

Key Points

Nido completes acquisition of two incubator child care services
Services have occupancy above 90% and strong financial metrics
Acquisition aligned with Nido's incubation growth strategy

Full Summary

Nido Education Limited (ASX: NDO) has announced the completion of two service acquisitions from its incubation pipeline. The two acquired services each have an occupancy above 90%, with one service trading for 18 months and the other just over 2 years. The acquisition investment totals $6.0 million and is expected to have an estimated EBIT (pre-AASB16) impact of $1.3 million in CY2026. The services have an average daily fee of $166 and a total of 168 places, with an average of 105 weeks open. One service is located in New South Wales and the other in Western Australia. Nido remains committed to its existing incubation growth strategy, as outlined in its previous announcement dated 3 November 2025. Services need to achieve $5,500 EBIT per place and an average occupancy of 80% over a six-month period for Nido to exercise its call option at 4.5x EBIT.