Singapore’s Tower Capital Asia has confirmed DealStreetAsia’s report that it is picking up a majority stake in Kids Element Education, one of the largest indoor playground companies in the city-state, also known commercially as Kiztopia.
The investment was made through Tower Capital’s education-focused platform Ectivate, which is part of its debut fund of $379 million, according to a statement on Thursday. The mid-market buyout firm will become the largest shareholder in Kiztopia, while the existing shareholders will retain the remaining stake following the completion of the transaction.
Tower Capital’s first fund is fully deployed, and it is planning to raise $500 million for its successor fund, DealStreetAsia reported this year.
“This proprietary deal aligns with our strategy of backing high-potential, storied businesses in Southeast Asia poised for regional success,” said Danny Koh, founder and CEO of Tower Capital, which manages $500 million in institutional funds as of June.
Kidztopia operates indoor playgrounds and offsite events with its own intellectual property content licensing across Southeast Asia and Hong Kong. Founded in 2019 by Heidi Tian, it owns 15 entertainment centres for families with young children under five brand concepts in the region.
Tower Capital will work with Kiztopia’s management for expansion in the sector dubbed as ‘eductainment’ as well as IP development in licensing, merchandising, and content creation, it said in the statement.
