Chicago-based credit reporting firm TransUnion has already setup a price range for its IPO, which will help it amass around $781.5 million. In its original filing to the SEC, TransUnion has stated that it will sell 29.5 million shares at a price of $21 to $23 per share, which will bring in several million. The firm provides consumer reports, risk scores and other analytic reports specific for businesses. Individuals use TransUnion to study their credit scores and update personal information to improve scores. It is one among top three credit rating agencies within United States, while other two are Experian and Equifax (NYSE: EFX).
The firm has also included the over-allotment option, which will allow underwriters to the IPO to sell extra shares to investors under specific circumstances. The offering has been made after it was acquired by coalition of Advent International and Goldman Sachs (NYSE: GS) that together paid around $900 million in cash and $2.2 billion for debt reconstruction.
The firm’s revenue has grown by 10 percent last year and now amounts to around $1.3 billion when valued at 2014. After its IPO, the major shareholders of the firm will be Advent International Corp and Goldman Sachs as they are its new owners. The firm was established in 1968 as a financial credit information services firm and has 500 million customers spread across 33 nations around the world. The firm started its credit rating services after it acquired Credit Bureau of Cook County that had 3.6 million files of credit card owners back in 1969.
TransUnion was acquired by Marmon Group in 1981 for $688 million and after acquisition by Advent International Corp and Goldman Sachs, it was able to acquire Hank Asher’s firm, TLO. The firm has faced a few high profile legal issues due to users’ complaints. While it was the main accused in a few cases, in one it was also a co-accused with Experian, where a fraud victim sued all credit agencies.