Benzinga | Sep 13, 2021 06:59AM EDT

TransUnion To Acquire Neustar For $3.1B

* TransUnion (NYSE:TRU) has agreed to acquire Neustar, a premier identity resolution company with solutions in Marketing, Fraud, and Communications, from a group led by Golden Gate Capital and with minority participation by Singapore-based GIC, for $3.1 billion in cash.

* For FY21, Reston, Virginia-based Neustar is expected to generate ~$575 million of revenue and $115 million of Adjusted EBITDA.

* After integrating Neustar, TransUnion expects Neustar to accelerate growth through material revenue synergies and increased participation in the digital marketing and identity fraud marketplaces.

* The company anticipates material cost synergies from the combined companies and expects the deal to be accretive to Adjusted EPS beginning in 2023.

* Neustar's security business is excluded from the transaction and will become a Golden Gate Capital and GIC portfolio company.

* TransUnion held cash and cash equivalents of $526 million on June 30, 2021.

* The transaction is expected to close in 4Q21.

* Price Action: TRU shares closed lower by 0.77% at $123.23 on Friday.