Precious Cargo childcare has been placed in administration

A major childcare chain, which operates seven early learning centres across Adelaide, has been placed in administration, but will continue to trade.

Cheryl Shigrov founded Precious Cargo childcare in 2006.

The Precious Cargo chain of early learning centres has been placed in administration, with a buyer now being sought for the business, which has been in operation for almost 19 years.

Administrators Heard Phillips Lieberenz have written to parents whose children attend the seven affected centres across the Adelaide metropolitan area, saying none of their staff have been terminated and it is business as usual.

The administrators are now urgently seeking a buyer for the business, which founder Cheryl Shigrov set up in early 2006.

Ms Shigrov said the company had been facing difficulties experienced sector-wide that they weren’t able to overcome.

“In my role, I as director take responsibility for not being able to navigate these challenges,” she said.

“To our children, families and staff I apologise that my journey has come to a close, but ask that you work together with the administrators and I to find a way forward to preserve Precious Cargo and bring it back to a thriving entity.”

Ms Shigrov was named the Telstra Business Woman of the year for South Australia in 2013.

Precious Cargo uses a Montessori approach to early learning which promotes self-directed learning and creativity.

Despite her company going into administration, Ms Shigrov said she was proud of Precious Cargo’s growth.

“I relish the part that Precious Cargo played in altering the trajectory of childcare centres, and ultimately the learning outcomes for children in Australia.

“Today, I continue to have our children, their families and our staff at the forefront as I work through the administration process to a positive outcome.”

Precious Cargo founder Cheryl Shigrov said the company had been forced into administration after failing to overcome industry-wide challenges.

In their letter, administrators Andrew Heard and Anthony Phillips informed parents to not to be overly concerned at this point.

“We would like to assure you that your childcare centre will continue to operate with the same staff and management team,’’ the letter says.

“Your child’s current booking will remain unchanged throughout this process.’’

The administrators said they would be working with Ms Shigrov and other management staff to ensure there was a little disruption as possible.

“After stabilising the operations of your centre, we will quickly move into a phase where we will look to sell the childcare centre business to an experienced and financially stable new owner - preferably the sale will be as one group,’’ the administrators said.

“Our goal is to find a buyer who shares Precious Cargo’s commitment to excellence and who will carry forward the centre’s legacy.

“No staff have been terminated and we value the teams that have been created to support your family and children.’’

The administrators said they would be providing regular updates to centre management who would then update parents.

“We value your trust and look forward to supporting your family through this transition.

“It remain business as usual for our Precious Cargo centre while we go about the voluntary administration and we will update you should any matter different to the above occur.’’

A separate group of Precious Cargo entities, operated by Ms Shigrov but not running centres, was placed in liquidation this week as a result of an outstanding tax debt.