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G8 EDUCATION LIMITED Capital/Financing Update 2015

Nov 11, 2015

64978_rns_2015-11-11_bf7da69e-93a8-42c7-96be-a3852461766c.pdf

Capital/Financing Update

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ASX Announcement

G8 Education Limited (ASX:GEM)

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12 November 2015

Acquisition of 13 premium childcare centres

G8 Education Limited (ASX: GEM) is pleased to announce that it has entered into contractual arrangements to acquire 13 premium childcare and education centres from a number of different vendors. These contracts are conditional upon usual licensing and landlord approvals. Subject to these conditions being satisfied, the acquisitions will be funded from existing cash reserves and are expected to settle before the end of February 2016.

The total purchase price for the 13 centres is $29.7 million excluding transaction costs. The purchase price is 4.1 times anticipated EBIT for the 12 months post settlement. The centres are expected to contribute to EBIT immediately upon settlement.

These acquisitions will increase the number of places by 1,000 and results in a total number of places in the Company’s Australian portfolio of 36,125 per day.

Settlement update

G8 Education Limited is pleased to confirm that all acquisitions previously announced to the market are scheduled to settle by 27 November 2015.