Credit bureau is sold to US firm for £1bn
ONE OF Yorkshire’s biggest technology firms has been sold to an American firm in a deal worth £1bn.
In one of the largest acquisitions in Yorkshire for several months, Leeds-based Callcredit has been purchased by American firm TransUnion for $1.4bn (£1bn) and will form part of the Chicago-based empire, which spans some 33 countries.
Callcredit, the second-largest consumer credit bureau in the UK, was founded in 2000, providing data, analytics and technology to help businesses and consumers alike to make informed decisions.
The company turns over more than £200m and is active across the world, having made a number of significant global acquisitions in recent years, particularly in Europe and the Far East.
Parties from both Yorkshirebased company and TransUnion were unable to confirm if the deal would mean the Callcredit brand would remain in place or whether it would be rebranded under the TransUnion umbrella.
It is also not clear what impact the deal will have regarding staffing at the firm, which employs more than 1,300 people, mainly in Leeds.
The acquisition is anticipated to close during the summer, pending approval from the regulators.
TransUnion’s president and chief executive officer Jim Peck said: “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.
“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.”
President of TransUnion’s International business David Neenan added: “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.
“And, with the growing trend of multi-bureau usage in the UK, we believe this is the right time to introduce TransUnion into the market.”
Callcredit has nearly doubled its turnover since 2012.
Following an application to the Financial Conduct Authority (FCA) in 2016, the group’s wholly owned subsidiaries Callcredit Limited and Callcredit Consumer Limited then achieved full authorisation from the FCA in the following year.
Callcredit’s chief executive officer Mike Gordon said: “Investment by a global company with an established track record, shared values and leadership who recognised our market potential is absolutely the right fit for us and the market.
“We are excited about the future and unique opportunity to elevate our competitive advantage with TransUnion through our combined innovation and expertise.”