TransUnion announced today it has agreed to purchase Callcredit Information Group, the second largest and fastest growing consumer credit bureau in the U.K., headquartered in Leeds.
Founded in 2000, Callcredit is a U.K.-based information solutions company that, like TransUnion, provides data, analytics and technology solutions to help businesses and consumers make informed decisions.
TransUnion is already providing solutions for businesses in 33 countries, and this acquisition introduces their brand and products to a new market, expanding theirr global footprint to the U.K.
“Investment by a global company with an established track record, shared values, and a leadership team who recognised our market potential is absolutely the right fit for us. We’re excited about the future and the unique opportunity to elevate our competitive advantage with TransUnion through our combined innovation and expertise.” said Callcredit CEO Mike Gordon.
International expansion is a key growth strategy for TransUnion, already doing business in 33 countries. The company applies its global operating model to all acquisitions, optimizing business and operational processes. TransUnion’s innovative global solutions include trended data leader CreditVision® and consumer empowerment application CreditView®, as well as an array of data, fraud, decisioning, analytics and consumer identity solutions.
“TransUnion and Callcredit have strong synergies across our business models and solutions, and we share a commitment to using information to benefit consumers and global economies alike,” said Jim Peck, TransUnion’s president and chief executive officer.
“Callcredit is an outstanding acquisition for TransUnion, and together, we’ll be a powerful force to deliver value to shareholders, customers and consumers across all the markets we serve.”
With a strong record of growth and innovation in both core credit and emerging solutions, Callcredit has achieved strong market success in the U.K. The growth of financial technology (FinTech) and alternative lenders is driving demand for credit reporting services in markets worldwide, including the U.K., and Callcredit and TransUnion are both positioned well to competitively deliver on this demand.
“We continue to drive growth by identifying and investing in attractive international markets. As a leader in the world’s second largest credit market, Callcredit certainly fits the model,” said David Neenan, President of TransUnion’s International business. “And, with the growing trend of multi-bureau usage in the U.K., we believe this is the right time to introduce TransUnion into the market.”
TransUnion agreed to acquire Callcredit for £1 billion, which is approximately $1.4 billion at today’s exchange rate. The acquisition is anticipated to close late in the second quarter or early in the third quarter pending regulatory approval.