Experian makes mighty purchase
Global information services company Experian has announced the acquisition of Mighty Net. Nottingham-based Experian purchased the US-based company, which provides online credit monitoring services, for $207.5m (about £133.4m).
Experian said that Mighty Net's core assets, which include consumer marketing brands CreditReport.com, CreditScore.com and MyCreditScore.com, were “highly complementary to Experian's suite of credit monitoring brands”.
In the year to 31 December 2009, Mighty Net generated revenue of $115m, with expected revenue growth of 10 per cent in the year to 31 December 2010. Experian said that following the acquisition, “certain channels and lines of business at Mighty Net will be discontinued, which will result in adjustment to revenue”.
Experian said that it expects “to realise significant cost synergies in the areas of technology, infrastructure and back office functions. Experian estimates that, on an annualised basis, savings will reach approximately $4m in the year to 31 March 2012 and $5-6m in the year to 31 March 2013”.
The company said the purchase was made from existing cash resources.
