Camp Australia
Image from Camp Australia’s website

Several investment management funds are acquiring debt in Australia’s largest outside-school-hours care provider, Camp Australia, in anticipation of a restructuring process which is expected to commence next month, The Sector has reported.  

Camp Australia, which has 555 settings, was badly affected by the pandemic. By the middle of last year, its holding company had A$335 million of loans and borrowings including a $235 million bank debt facility with tranches maturing in December 2022 and December 2023.

Private equity company Apollo Global Management has been acquiring senior debt from existing lenders to ensure its participation in any restructuring discussion, according to the Australian Financial Review.

Earlier this year, Australian private equity funds Tanarra and Allegro joined forces to acquire A$4 million of Camp Australia’s term loan B from Goldman Sachs for about 65 cents on the dollar, which followed an earlier purchase by Allegro in 2021 of A$12.5 million from Morgan Stanley at the same price.

Bain Capital Private Equity, which acquired Camp Australia in 2016 for an undisclosed sum and now has an equity investment valued close to zero, has exited the situation and no longer has representation on the Camp Australia board.

Date published: 30 March 2022

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