G8 Education expands with 20 new centres

Childcare provider G8 Education has launched a $100m capital raising to help expand with the purchase of another 20 centres.

(AAP)

Childcare operator G8 Education is tapping investors for $100 million to help it buy another 20 centres.

G8 is paying $24.35 million for 17 centres which can cater for 1,134 children.

The remaining three centres offer 209 licensed places and are being bought for $12.35 million as part of an earlier deal G8 signed with the Sterling group of companies.

G8 has launched a $100 million equity raising with institutional investors, placing 20.4 million shares at $4.91 each.

The money will help fund the latest centre acquisitions and boost G8's balance sheet.

Brisbane-based G8's businesses include Headstart Learning Centres, Pelican Childcare, Early Learning Services and Bambino's.