Tag: ABS

Has market confidence really changed that much?

So will ABC Learning Centres return to centre stage today once the exclusive negotiating period with Morgan Stanley over the sale of ABC’s US assets ends?

Shares in troubled childcare centre operator, ABC Learning Centres (ABS) rebounded as much as 28% as they resumed trading this morning, following an announcement that private equity firm Morgan Stanley is to buy a 60% stake.

So it would seem the only way to get out of the current impasse where debt exceeds ambition and assets, not to mention profits and cash flow, is to find someone willing or game enough to appear as a ‘white knight’.

Despite the continuing strong performance by the broader stockmarket, ABC Learning Centres, a darling for much of the past two years, has had a pretty miserable 2007.