The IPO Buzz: KinderCare Sets Terms for Revived IPO to Raise $600 Million

KinderCare Learning Companies, Inc. (KLC Proposed) unveiled the terms for its revived IPO – 24.0 million shares at a price range of $23.00 to $27.00 to raise $600 million – in an S-1/A filing early today – Monday, Sept. 30, 2024. The company would have a market cap of about $2.86 billion, if priced at the $25.00 mid-point of its range. These terms bring KinderCare’s IPO back to the Wall Street stage after the national chain of day-care centers abruptly postponed its initial public offering in late November 2021. KinderCare Learning Companies, based in Lake Oswego, Oregon, describes itself as “the largest private provider of high-quality early childhood education (ECE) in the United States by center capacity,” according to the prospectus. The company serves children ranging in age from six weeks to age 12 in over 1,500 early childhood education centers and nearly 900 before- and after-school sites in 40 states and the District of Columbia, as of June 29, 2024. Goldman Sachs, Morgan Stanley, Barclays and J.P. Morgan are leading the team  of joint book-runners. The book-running team includes UBS Investment Bank, Baird, BMO Capital Markets, Deutsche Bank Securities and Macquarie Capital. KinderCare Learning Companies, Inc. is profitable. The company reported net income of $57.65 million on revenue of $2.59 billion for the 12 months that ended June 30, 2024, according to financial statements in the prospectus. (For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on IPOScoop.com’s website.) Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board. To see what time the NASDAQ IPOs are expected to trade, please log in to: NASDAQTrader.com then scroll down to IPO Message. Disclosure: Nobody on the IPOScoop.com staff has a position in any stocks mentioned above, nor do they trade or invest in IPOs. The IPOScoop.com staff does not issue advice, recommendations or opinions. Disclaimer: A SCOOP Rating (Wall Street Consensus of Opening-day Premiums) is a general consensus taken, at press time, from Wall Street and investment professionals concerning how well an IPO might perform when it starts trading. The SCOOP Rating does not reflect the opinions or anyone associated with IPOScoop.com. The SCOOP ratings should not be taken as investment advice. The rating merely reflects the opinion of the professionals at the time of publication and is subject to last-minute changes due to market conditions, changes in a specific offering and other factors, such as changes in the proposed offering terms and the shifting of investor interest in the IPO. The information offered is taken from sources we believe to be reliable, but we cannot guarantee the accuracy.