Award-winning Nurtured Childcare acquires three-setting nursery group in deal financed by OakNorth

• Founded in 2021 by educational entrepreneur Craig Brennan, Nurtured Childcare is one of the UK’s fastest-growing nursery operators;
• Employing almost 300 staff, Nurtured Childcare now operates 11 nurseries across the North of England, offering 700 places;
• Elmore Kindergarten Group, a privately owned cluster of three nurseries located throughout Sheffield, was acquired using a facility from OakNorth;
• The UK’s childcare market is set to grow by 10.7% between 2023 and 2027, to £10.8bn. 

Monday, 19^th May, 2025: Nurtured Childcare, the fast-growing, multi-award-winning day nursery group, has acquired Elmore Kindergarten Group, which operates three children’s day nurseries in Sheffield.

The transaction was financed with a £2.7 million loan from OakNorth, the leading digital bank for entrepreneurs, by entrepreneurs. In addition to enabling the acquisition of Elmore Kindergarten Group this facility refinanced existing borrowing by the Nurture Childcare group and will provide an element of working capital.

The acquisition is projected to increase Stockport-headquartered Nurtured Childcare’s turnover by more than £2.3 million.

Nurtured Childcare was founded in 2021 by the entrepreneur Craig Brennan to provide nurseries that offer high-quality education, create rich environments and foster a spirit of exploration. It is one of the country’s fastest-growing childcare groups and now offers more than 790 places across the North of England, employing almost 300 staff across its Greater Manchester head office and childcare premises in Sheffield, Wakefield, Rotherham and Stoke-on-Trent.

Elmore Kindergarten was established in 1991 by Richard Marshall, who initially contacted Nurtured Childcare last year to explore the potential for a transaction. His sale of the business has enabled him to retire.

The Elmore Kindergarten group consists of three settings: Broomhill Nursery, located close to Sheffield Teaching Hospital; Ecclesfield Nursery; and Middlewood Nursery, which is set at the entrance of Wadsley Park, within the Middlewood Park Conservation Area.

Each of the three settings is currently rated “Good” by Ofsted. They offer a combined total of 324 childcare places and employ 77 staff.

The acquisition of the Elmore Kindergarten group brings the total number of childcare settings operated by Nurtured Childcare to 11, consolidating its footprint in South Yorkshire. The three acquired nurseries will be rebranded over the coming months to reflect their new ownership.

Craig Brennan, CEO & founder of Nurtured Childcare, said, “We’re thrilled to welcome the Elmore team and families into the Nurtured Childcare Group. Each of these sites is in a prime location and is already equipped with significant resources, which we plan to build on with further investment and an expansion of the extra-curricular activities they offer, as well as providing staff with access to our detailed, bespoke programme of training and support.

“OakNorth’s deep understanding of the nursery and early years sector, coupled with their flexible and transparent financing approach, made them our ideal funding partner for this acquisition-led project. Following this successful acquisition, we’re well-positioned to expand high-quality early years education across more areas of the North of England.”

Childcare is a key market for Manchester-headquartered OakNorth. According to the Department for Education factors including population growth and return-to-office working policies will lead the sector to grow to £10.8 billion by 2027, an increase of 10.7 per cent compared to 2023.

Stewart Haworth, Director of Debt Finance at OakNorth, said, “Nurtured Childcare represents everything we look for in a borrower – ambitious leadership, operational rigour, and community impact. We’re proud to back Craig and his team as they bring new energy and vision to the North of England’s nursery sector.

“The combination of an award-winning and experienced operator with the projected tailwinds for the UK’s childcare market, means this acquisition is set to be another success story for the group. We look forward to watching their growth story going forward and supporting Nurtured Childcare on future projects.”

Nurtured Childcare worked with Poynton, Cheshire-based KeySME Business Finance to secure the OakNorth facility. Ash Richardson, Founder of KeySME Business Finance, said, “We were appointed on this transaction to support Nurtured Childcare with a competitive, bespoke funding package to facilitate the acquisition of Elmore Kindergarten Group and consolidate existing finance.

“Working with our lender partner, OakNorth, we have collectively delivered a flexible structure to support Craig’s ambitions for the business. This has been a rewarding deal to work on and highlights the abilities of KeySME Business Finance to unlock tailored funding solutions for UK SMEs.

“Thank you to all parties involved for their efforts in getting this transaction over the line and congratulations to the team at Nurtured Childcare. We wish them continued success into the future.”

Nurtured Childcare also received commercial legal advice from Mark Ryan Solicitors and Clarion Solicitors, while the property element of the transaction was handled by John Galvin of Clifford Johnson Solicitors.

The vendor received legal advice from Wake Smith Solicitors and Eddisons.

ENDS

Notes to editors

About OakNorth

Launched in September 2015 and founded by entrepreneurs, OakNorth is a digital bank focused on serving and empowering the lower mid-market (businesses with £1m-£100m in turnover), that are seeking to scale but are routinely underserved or overlooked by traditional banks.

To date, it has provided c.£12.5bn to these businesses across a wide range of sectors, achieving performance metrics that place it amongst the top 1% of commercial banks globally. Its loans have directly contributed to the creation of 56,000 jobs, and over 34,000 new homes across the UK and the US – the majority of which are affordable and social housing.

It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Visit www.oaknorth.co.uk for more information.

For press inquiries, please email: [email protected]

About Nurtured Childcare

Nurtured Childcare is a fast-growing group of children’s day nurseries. Headquartered in Greater Manchester, Nurtured Childcare has 11 settings in Yorkshire and Staffordshire, with plans for more acquisitions in 2025 and further rapid expansion across the North of England

Nurtured Childcare was founded in 2021 by Craig Brennan and has a strategy of growth by acquisition, with a mission to be the number one choice for families and early years professionals, with 100 of the most wonderful nurseries in the UK by 2035.

Nurtured Childcare has provided an exit for many retiring nursery owners coupled with continuity for parents and the highest standards of childcare and education. The business, its nurseries and staff have won a number of awards, including Nursery of the Year at the daynurseries.co.uk awards and Manager of the Year at the Nursery World Awards.

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