Private equity firm Sovereign Capital Partners has started its sale of Outcomes First Group, with the first round of bids due by 23 May, sources have revealed.
Outcomes First has a forecasted EBITDA of £21m for 2019, with sources valuing the asset at around £300m or a multiple of almost 15 times EBITDA.
As reported in November, Sovereign instructed Macquarie Group to sell Outcomes First.
The vendors are likely to target infrastructure buyers, with Stirling Square Capital Partners linked to the asset because of its investment in the National Fostering Agency, according to sources.
Sovereign bought Outcomes First for around £80m in 2013, and Options Group in 2016 for an undisclosed sum.
Outcomes First is a UK education and care business which offers education and services to children and adults with complex care needs.
It operates three service divisions: Options Autism and Learning Disabilities, Hillcrest Children’s Services and Sunflower Fostering.
A Stirling Square spokesperson said they were unable to comment.