Irish data analytics and consumer credit reporting firm Experian has agreed to acquire illion, a consumer and commercial credit bureau, in a deal worth up to A$820m ($538.93m).
Founded in 1986, illion offers consumer credit reporting, commercial credit reporting, as well as identity and verification solutions in Australia and New Zealand.
The firm focuses on credit risk assessment and decisioning software solutions.
Illion also delivers a comprehensive range of products covering every aspect of the credit lifecycle, including decisioning software, lead generation, payment technologies, and tender management.
Through the acquisition of illion, Experian aims to offer better choices in Australia and New Zealand by delivering a competitive alternative for businesses to expedite the adoption of digital services.
The deal is highly complementary and will add synergies to Experian’s business in Australia and New Zealand, said the data analytics and consumer credit reporting firm.
Besides, the combination of both companies will provide clients with complete service. This is expected to bring depth to consumer bureau services, a dominant position in commercial credit bureau services and capabilities in identity management solutions.
Experian CEO Brian Cassin said: “We are delighted to announce that Experian has entered into an agreement to acquire illion, a highly complementary business to Experian in Australia and New Zealand (A/NZ), which will enhance the competitive dynamics in this important market.
“This marks a pivotal step in our longstanding commitment to the region and reinforces our dedication to delivering exceptional value and more choice to clients in A/NZ.”
Experian intends to finance the consideration for the deal from its existing cash resources.
According to the Irish company, the acquisition will add a revenue of approximately A$175m ($115.21m) and a benchmark EBITDA of around A$65m ($42.79m) in the first full year of the ownership.
Subject to regulatory review by the competition authority in Australia, the transaction is expected to be completed in the second half of this year.