Academedia, a Swedish education giant, has successfully acquired the Polish bilingual preschool network, Kids & Co. This transaction aligns with the company’s strategy for international expansion as it faces rising criticism of commercial education in Sweden.
The agreement encompasses the full acquisition of the Kids & Co network, which includes 34 preschools offering around 3,000 places for children.
“This acquisition represents a significant step in our international development strategy,” stated Kristofer Hammar, Academedia’s preschool division director.
Details on the Kids & Co Acquisition
Established in 2006, the Kids & Co network is regarded as a leading player in the preschool education and care segment for children aged 0-6 years. This September, the network plans to open its first primary school in Warsaw.
In the previous year, the Child Development Center, which operates Kids & Co preschools, reported revenues of 96 million PLN, up from 81 million PLN the previous year. Net profit increased to 1.7 million PLN from 1.5 million PLN, with employment figures standing at 451, including 224 teachers and 109 caregivers.
Academedia emphasizes the attractiveness of the Polish educational market, noting that Poland ranks fourth in the EU for preschool market size, catering to approximately 1.8 million children under the age of five.
Academedia’s Operations in Sweden
In Sweden, Academedia operates 94 primary schools and 148 secondary schools. These institutions function as private entities but receive government subsidies, allowing students to attend without tuition fees, significantly enhancing their appeal.
According to the newspaper “Dagens Industri,” international investments serve as a diversification strategy for Academedia amid uncertainties regarding the future of private education in Sweden. In recent years, the company has taken over schools or preschools in Norway, Germany, and the Netherlands.
Controversies Surrounding Academedia
As the Swedish parliamentary elections approach, there is an ongoing debate about limiting or banning private entities from operating schools. Currently, companies manage around 1,300 of the approximately 6,000 existing schools in the country.
Swedish media have reported on high profits made by educational corporations, alongside accusations of cost-cutting measures affecting students. Allegations of inflated grades by teachers have also surfaced.
Local authorities have expressed concerns that the expansion of private education could harm public education, which is grappling with declining student numbers. Many consider the schools run by companies as more modern and offering more appealing profiles.
