TransUnion, one of America’s biggest credit reporting companies, signed a $3 billion deal last Friday to sell itself to private equity funds Advent International and Goldman Sachs’s GS Capital Partners.
Advent International and GS Capital Partners will purchase the company from Chicago’s Madison Dearborn Partners and the Pritzker family in one of the largest private equity deals of the year, DealBook reports.
Though the companies did not announce the full terms of the acquisition, TransUnion said in a statement that the deal would not mean changes to the company’s management team.
“I wish the TransUnion management team and all the associates the very best in this next, and very exciting, stage in the evolution of the company,” Penny Pritzker, one of the Pritzker family heirs and chairwoman of TransUnion’s board, said in a statement, according to DealBook.
TransUnion was owned by the Pritzker family until 2010, when the family sold its controlling interest to Madison Dearborn Partners, one of Chicago’s biggest private equity firms, DealBook reports.
The deal, expected to close early in the second quarter, comes as credit reporting agencies face government oversight for the first time. Last Thursday, the Consumer Financial Protection Bureau announced a plan to more closely regulate debt collection agencies and credit reporting companies, including TransUnion’s competitors Equifax and Experian.
The agencies have drawn criticism in recent months as consumers complain that credit reporting practices are not without error and defer to creditors at the expense of the American consumer.
TransUnion’s President and CEO Bobby Mehta expressed confidence in the company’s future under Goldman Sachs and Advent International.
“We look forward to working closely with the Advent and Goldman Sachs teams to continue executing against our strategic blueprint by remaining focused on providing our clients with highly attentive service and the very best information and risk management products,” Mehta said, according to DealBook.