Equifax has agreed to buy Mexico's Círculo de Crédito for an enterprise value of $750 million, marking a major expansion into Latin America's second-largest economy. Círculo generated $134 million in revenue over the last 12 months with 31% growth and adjusted EBITDA margins in the mid-40% range. The deal is expected to close in the fourth quarter pending regulatory approvals and should be accretive to Equifax's adjusted earnings per share in the first full year of ownership. Equifax plans to integrate its cloud-native technology, AI, analytics, fraud prevention and identity tools into Círculo's platform, while leveraging Círculo's strong position in fintech, retail and alternative data for future growth.
Equifax IncEquifax acquires Círculo de Crédito for $750M, expected to be accretive to EPS and expand into Mexico.
Fair Isaac CorporationCírculo de Crédito is being acquired at a valuation reflecting strong revenue growth and margins.