Project Achievements
- All schools are rated ISI Excellent, Ofsted Outstanding or Ofsted Good
- Modular building technology used in the construction of a new nursery which significantly reduces energy usage and sound pollution
- Carbon mapping exercise carried out with intention to reduce emissions and become one of the 1st carbon neutral private schools groups in the UK
- Engaged with councils to enhance access of facilities for state school pupils alongside Bursary scholarships
- Forest School opened in September 2023 at Dean Park Nursery, adding 20 places to nursery capacity
- Charitable community initiatives run throughout the year
- Sold in Q2 2024 to Middle Eastern SWF ahead of expected business plan exit
Access to quality education is crucial in enabling many of the UN Sustainable Development Goals (SDGs) to be achieved and to deliver on Goal 4 (Quality Education), education financing and improving school infrastructure is key. Over recent years, the education sector has becoming increasingly attractive to institutional investors given its long term defensive nature, the highly fragmented market and the value of the underlying real estate. Independent schools are seen as being intrinsic to the education system by ensuring that there is increased capacity for pupils, contributing to the economy whilst supporting local employment.
In 2019, Revcap established a programmatic joint venture with leading school operator, Forfar Education, to acquire mid-market to premium UK private schools and provide quality education for pupils from nursery (6 months) to 18. Revcap also acquired a stake in the OpCo. Between July 2019 and March 2023, the JV acquired 8 schools across regional areas of the UK, serving over 1450 pupils in the 2022/23 year. The JV’s has improved EBITDA through increasing occupancy, operational improvements and enhancing environmental performance through selective capital expenditure. In addition to the social value generated from the provision of high quality education, specific ESG initiatives have been implemented across the portfolio including the use of modular building technology, carbon mapping, the introduction of a forest school and investment into STEM to enhance enrolment.
In November 2023, Revcap was approached in a management backed buy out backed by a Middle Eastern SWF to acquire the Forfar portfolio and OpCo stake with a deferred consideration tranche payable dependent on the EBITDAM achieved in the 2025 school year generating returns of a 15% IRR and a 1.8x equity multiple, assuming this deferred payment.
- 1,453 pupils enrolled across Forfar schools in 2022/2023
- All Schools Rated ISI Excellent, Ofsted Outstanding or Good
- Directly contributes to UN SDG 4 (Quality Education)
