The US giant credit agency Equifax has signed a binding agreement to buy Australian company Veda for $2.501 billion.
“This acquisition will provide a strong platform for Equifax to offer new data and analytics services in Australia and other markets in this region,” says Equifax CEO Richard F. Smith.
Equifax will acquire all of the shares of Veda at a price of $A2.825 cash per share. A short time ago, the shares were up 2.16% to $2.76.
The offer price is higher than Veda has traded since the consumer and commercial credit reporting agency listed in December 2013.
The Veda board of directors approved the deal and shareholders will vote at a meeting expected to be held in February.
Helen Nugent, Veda’s Chairman, says the sale is an attractive outcome for shareholders.
“We consider that the offer price of $A2.825 cash per share reflects Veda’s strong market position and its ability to deliver growth into the future,” she says.
“Equifax has a global capability and deep skills that will benefit Veda’s customers and provide opportunities for our staff.”
Equifax has data on more than 600 million consumers and 81 million businesses worldwide.
Business Insider Emails & Alerts
Site highlights each day to your inbox.