ABC Learning Centres Limited is company which focus on provide service on childcare. The company was founded by Eddy Groves and his wife, Le Neve. They established their first childcare centre in suburban Brisbane in 1988. As the industry was growing and has universally needs for childcare, their childcare centres quickly became successful. With the range of business expand rapidly, Groves applied $20 million from St. George Bank in 1993 to for the expanding of his business. In 2001, the successes of ABC Learning Centres Limited lets the shares of the company were listed on the Australian Stock Exchange (ASX). In January 2008, ABC Learning Centre Limited had become the largest private operate childcare centres in the world and owned more than 2200 centres in Australian, America, British, and New Zealand.…show more content… At the same time, the profits of business also experienced a growth from $A17 million to almost $A200 million from 2003 to 2007. The rapidly growth caused the price of the company’s share rocked from $A2 per share in February 2003 to more than $A8 per share in 2006. As the expanding of the company, ABC Learning Centre Limited had a stated ambition to triple the number of 1050 childcare centres in U.S. they owned within five years. The company seeks to buy a series of small acquisitions and expand their business in this way. Additionally, the company financed with debt and equity of those smaller acquisitions. Therefore, the company’s borrowing grew from $A20.2 million in 2002 to more than $A1.8 million in 2008. The banks that ABC debt had speculated that they over paid the acquisitions and they reflected on ABC’s books as intangible