NFA makes three bolt-on acquisitions within five weeks

Sovereign Capital, the UK private equity Buy & Build specialist, today announces the acquisition of three fostering agencies adding over 200 placements to National Fostering Agency ('NFA').  The transactions - Alliance Foster Care in Northampton, Alpha Plus Fostering in Oldham and a well established Essex-based agency, extend NFA's reach into complementary geographies and further specialist service areas.

Alliance Foster Care Limited ('Alliance'), is a preferred provider of fostering placements amongst its local authority customer base in the Midlands.  Specialising in long-term, younger placements, Alliance currently cares for 75 children in the region.  The agency has an "outstanding" OFSTED rating and its exceptional practices and policies will fit well with NFA's robust infrastructure.

Alpha Plus Fostering Limited ('Alpha Plus') provides services to 21 local authorities in the North West of England.  Established in 2000, Alpha Plus's 70 placements augment NFA's existing presence in the region.  Having also achieved the highest possible OFSTED rating, the agency's excellent reputation and links with the local community provide substantial opportunities for the larger NFA group.

By joining NFA, the three businesses will be able to take advantage of NFA's national scale and operational back office, removing the administrative burden from key operational staff and enabling them to focus on placement outcomes and quality of care.  These transactions follow the success of The Foster Care Agency, acquired in March 2008, which has leveraged NFA's operational scale to grow placement numbers by 45% since acquisition.

Commenting on the acquisitions, Dominic Dalli, Partner at Sovereign said: "We have known some of these high-quality fostering agencies for five years and are delighted that they have chosen NFA as a partner to develop their businesses.  We look forward to supporting each of these local brands with NFA's market-leading infrastructure and people."

Iain Anderson, CEO, NFA added: "The high standards at all three companies fit well with NFA's track record of delivering the best possible outcomes for the children in its care.  We look forward to working with the staff and carers at the three agencies to continue to grow NFA's geographic reach and shape children's services on behalf of our local authority customers throughout the UK."

The acquisitions bring a further four offices to NFA's network of nine existing regional offices and bring the total number of placements in NFA's care to over 1,600.

The highly fragmented fostering market offers considerable opportunities for Sovereign's proven Buy & Build model and further acquisitions are expected for NFA as it continues to expand its national coverage.