The Learning Experience raises $285M in debut childcare securitization
What's the deal? The Learning ExperienceDealroom has a profile for this one. Try Dealroom →, a US childcare and early education franchisor backed by Harvest PartnersDealroom has a profile for this one. Try Dealroom →, has raised $285 million through its first whole-business securitization. The deal, which closed on November 10, 2026, pairs fixed-rate senior secured notes with a $50 million variable funding facility and $6 million of liquidity reserve notes.
What's the company? Founded in 2002 and based in Deerfield Beach, Florida, the company runs company-owned and franchised schools across the US and UK using a proprietary curriculum. It was roughly 93% franchised as of June 30, 2026, generating more than $955 million in system-wide sales from 540 schools.
How it works: The notes are secured by substantially all of the company's revenue-generating assets, including franchise royalties and fees, company-owned school synthetic royalties, and related intellectual property. The collateral also covers Banana Moon, its newest UK acquisition. Proceeds will refinance existing corporate debt, cover transaction costs, and fund general corporate needs.
Why now? The financing tracks rapid expansion. The company announced its 500th center in November and says it has more than 300 additional centers in development, with new clusters planned in Michigan, Nebraska, Sacramento, and Southern California.
By the numbers: At $285 million, the raise sits in the 97th percentile of all-time US education debt deals, based on a sample of 421 rounds. KBRA assigned preliminary ratings to the notes in October.
The signal: Whole-business securitizations are moving beyond their traditional home in restaurant franchising. Recent deals from HomeServeDealroom has a profile for this one. Try Dealroom → and OncourseDealroom has a profile for this one. Try Dealroom → show the structure spreading; The Learning Experience is notable as a childcare franchisor tapping the market to both refinance and fund growth.
Read more: kirkland.com
Image credit: Generated with Gemini
