Policy management and addressing solutions management company Neustar (NYSE:NSR) has made its second acquisition of the year, entering into a definitive agreement to pay $650 million for TARGUSinfo.
TARGUSinfo, an independent provider of real-time, on-demand information and analytics services including Caller ID, offers services to help its customers identify, verify, score and locate their customers and prospects.
The deal, said Neustar officials, extends Neustar’s position in the $30 billion information services market by combining TARGUSinfo’s Caller ID and online information services, such as lead verification and scoring, with Neustar’s strengths in network information services, including address inventory management, network security, and marketing analytics. It’s expected to close in the fourth quarter.
TARGUSinfo generated some $149 million in revenues for the 12 months ended Sept. 30, representing 20 percent year-over-year growth. Following completion of the transaction, Neustar will have annual revenues of approximately $750 million generated from a more diversified platform of information and analytics services offered to a wider range of enterprises.
“This transaction is a significant and logical step in our growth strategy,” said Lisa Hook, president and chief executive officer of Neustar. “Neustar has long provided communications, media and marketing companies with insights derived from their own data. By combining with TARGUSinfo, we will be able to offer a much more diverse portfolio of services in the real-time information and analytics market.”
In a blog post, Hook described the evolution of the deal as having formed over a meal between she and TARGUSinfo founder George Moore.
“Neustar’s acquisition of TARGUSinfo wasn’t the result of an investment banker bringing one of us the idea,” she wrote. “Our combination stems from a meal I had the pleasure of sharing last year with George Moore, who founded and built TARGUSinfo into the formidable company it is today.
“Over dinner, George and I both became excited about the possibilities of what our two companies could do together,” she said. “Since then, our senior teams have grown equally excited about how, by bringing these complementary companies together, we can broaden the scope of the services we offer to a larger and more diversified customer base.”
Neustar shares closed at $28.04 Tuesday, up 1.6 percent, or 44 cents.
Hook less than a year ago assumed the CEO role at Neustar, taking over for founder Jeff Ganek in November 2010. She previously had been president and COO. The company in April agreed to a $39 million cash deal that will give it the Numbering Solutions business from Evolving Systems (NASDAQ:EVOL).
For more:
– see this release
– see this Washington Post article
Related articles:
Neustar wraps up UltraViolet digital locker
Neustar narrowly misses 1Q EPS forecast on record revenue
Neustar acquiring Evolving Systems’ Numbering Solutions for $39M
Article source: http://www.fierceenterprisecommunications.com/story/neustar-pays-650m-acquire-targusinfo/2011-10-11?utm_medium=rss&utm_source=rss
View full post on National Cyber Security