Innervation Capital-backed ICPEducare has secured a loan from OakNorth so it can pursue a buy and build strategy in the Early Years space.

Innervation Capital focuses on investing in platform companies in essential services sectors such as education. It then works closely with the management team to accelerate growth through a mixture of organic and inorganic growth. 

ICPEducare initiated its “buy and build” strategy in February 2024 with the £6m acquisition of Phoenix Park Nurseries, and invested an additional £4m to acquire Shotley Bridge and Poplar’s Blossoms. It is now raising £13m for the acquisition of Oxfordshire Nurseries and the refinancing of its shareholder loans.

ICPEducare has £10m of equity and this new facility provides an accordion of a further £17m for a pipeline of acquisitions in exclusivity or already under negotiation.

In 2017, OakNorth provided support to ICP Nurseries, and in 2019, did the same with Cresswell Nurseries – both were Innervation Capital-backed businesses. ICP Nurseries and Cresswell Nurseries were combined to form ICP Education in December 2020. 

Under the leadership of chief executive, Dominic Harrison, ICP Education, which operated 45 sites and served nearly 6,000 children, was sold to Oakley Capital IV, and it now intends to replicate that success in early years schools in its recently-launched entity, ICPEducare.

Harrison explained: “Our aim is to create one of the UK’s leading early years providers in what is a £12bn fragmented market, serving nearly 1.6m children from 9 months to five years old. We expect to complete another three acquisitions this year with many more to come, so are delighted to have the support of OakNorth once again.”