In a significant development for the education sector in the GCC, Taaleem Holdings PJSC has announced the acquisition of a 95% stake in Kids First Group Limited (KFG). This strategic acquisition aims to bolster Taaleem's presence in the rapidly expanding early-learning sector, complementing its existing K-12 educational services.

Established as a leading provider of premium K-12 education in the UAE, Taaleem's latest move is a testament to its commitment to delivering exceptional learning experiences. The acquisition, funded through a combination of equity and debt, is expected to close by the fourth quarter of Taaleem’s 2024/25 financial year, subject to regulatory approvals.

KFG operates a network of 34 nurseries across Dubai, Abu Dhabi, and Doha, serving over 5,000 students with diverse curricula through its prestigious brands. This acquisition not only enhances Taaleem's value proposition but also immediately contributes to its earnings profile, offering strong cash flow from day one.

Upon completion, KFG will operate as a standalone vertical within Taaleem. The founder and 5% shareholder of KFG will continue to lead the group as CEO, ensuring continuity and leveraging the current management's operational expertise.

This acquisition aligns with Taaleem’s disciplined, value-driven approach to capital deployment, reinforcing its defensive positioning in the education sector. Given the growth potential and the strategic fit of this acquisition, current and potential investors might consider holding their position to benefit from future growth opportunities.