Experian completes sales negotiations with rival firm
UK credit-checking firm acquires Mighty Net in $207.5m deal
British credit-checking company Experian has successfully completed sales negotiations with a rival US firm.
The UK business has purchased online credit monitoring service Mighty Net for $207.5 million (£134 million).
Experian hopes the acquisition will consolidate its position as market leader in the US and expand its range of customer brands.
Founded in 1996, Mighty Net has approximately 680,000 US subscribers and runs popular websites including creditreport.com, creditscore.com and mycreditscore.com.
In 2009, the firm generated revenues of $115 million and reported earnings before interest and tax of $28 million.
Experian expects revenue to increase by 10 per cent this year as it aims to increase the income per Might Net subscriber and targets annual cost savings of around $4 million until March 2012.
Shares in Experian rose to 672 pence at the start of trading this morning (21st September), having increased by nine per cent since the start of the year.