M&A Deal Summary

Avathon Capital and Monroe Capital Acquire Yellow Brick Road

On February 6, 2025, private equity firm Avathon Capital and lender Monroe Capital acquired education company Yellow Brick Road

Acquisition Highlights
  • This is Avathon Capital’s 11th and Monroe Capital’s 3rd transaction in the Education sector.
  • This is Avathon Capital’s 11th and Monroe Capital’s 122nd transaction in the United States.
  • This is Avathon Capital’s 1st and Monroe Capital’s 5th transaction in Minnesota.

M&A Deal Summary

Date 2025-02-06
Target Yellow Brick Road
Sector Education
Buyer(s) Avathon Capital
Monroe Capital
Deal Type Buyout (LBO, MBO, MBI)

Target

Yellow Brick Road

Plymouth, Minnesota, United States
Yellow Brick Road is a network of early childhood education schools across Minnesota, Iowa, and Nebraska. The organization provides high-quality, education-based programs for children ranging primarily from infant through pre-K, creating a strong foundation for success in kindergarten and beyond. Yellow Brick Road was formed in 2006 and is headquartered in Plymouth, Minnesota.

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Buyer(S) 2

DESCRIPTION

Avathon Capital is a private investment firm focused on majority or minority investments in mid-sized US-based companies. The Firm is a generalist investor and seeks businesses with clear growth opportunities and strong product/market fit. Avathon looks to commit $10 to $50 million per transaction. Avathon Capital is headquartered in Chicago, Illinois.


DEAL STATS #
Overall 11 of 12
Sector: Education M&A 11 of 11
Type: Buyout (LBO, MBO, MBI) M&A Deals 5 of 6
State: Minnesota M&A 1 of 1
Country: United States M&A 11 of 12
Year: 2025 M&A 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2024-06-01 Hudson Global Scholars

Columbia, Maryland, United States

Hudson Global Scholars is a global education technology and services provider to independent K-12 schools and their families. Hudson Global Scholars was founded in 2019 and is based in Columbia, Maryland.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2025-04-28 OculusIT

Chicago, Illinois, United States

OculusIT is a provider of managed IT, security, and enterprise application services for higher education institutions. OculusIT was founded in 2018 and is based in Chicago, Illinois.

Buy -
Buyer

Monroe Capital

Chicago, Illinois, United States

Investor Investor Investor Investor Investor


Category Lender
Founded 2004
PE ASSETS 14.1B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Monroe Capital is a provider of senior and junior debt and equity co-investments to middle-market companies in the US and Canada. Investment types include unitranche financings, cash flow and enterprise value based loans, asset based loans, acquisition facilities, mezzanine debt, second lien or last-out loans and equity co-investments. Monroe Capital is a generalist investor and will consider companies in the healthcare, technology, media, retail, consumer sectors. Monroe Capital was formed in 2004 and is based in Chicago, Illinois.


DEAL STATS #
Overall 123 of 134
Sector: Education M&A 3 of 3
Type: Buyout (LBO, MBO, MBI) M&A Deals 37 of 39
State: Minnesota M&A 5 of 7
Country: United States M&A 122 of 133
Year: 2025 M&A 2 of 13
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2025-01-24 Tavoron

Eagan, Minnesota, United States

Tavoron manufactures automation and industrial systems and delivers a comprehensive range of automation solutions and services to increase efficiency, improve production quality, and create safer work environments. Tavoron is headquartered in Eagan, Minnesota.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2025-02-24 PAI Pharma

Greenville, South Carolina, United States

PAI Pharma manufactures and markets generic oral liquid pharmaceuticals in the USA. The company produces oral suspensions, solutions, elixirs, syrups, and liquids. Core product categories include analgesic pain relief, cough/cold and allergies, digestive and metabolic health, neurological disorders, and mental health, among many others. PAI Pharma was founded in 1968 and is based in Greenville, South Carolina.

Buy -