Austin-based CSIdentity sold to Experian in $360 million deal
Austin-based CSIdentity has agreed to be acquired by credit reporting agency Experian in a deal valued at $360 million, the company announced on Tuesday.
CSIdentity which provides identity theft protection, is owned by Investcorp.
The transaction is subject to regulatory approvals.
CSIdentity, also known as CSID, was founded in 2006. The company provides fraud protection technology to business and government agencies.
Experian sells data and analytical tools that help businesses manage credit risk, prevent fraud and target marketing offers. The company also allows consumers to check their credit reports and credit scores and protect against identity theft.
Experian said CSID's technology will expand its presence in the fast-growing identity protection market. As consumer adoption of identity-related services increases, the U.S. market is estimated to be a $1.6 billion industry, the company said.
"By combining Experian and CSID capabilities, we will provide best-in-class products to give consumers greater control over their identity and credit information in one proposition," Brian Cassin, Experian CEO, said in a statement. "We look forward to building stronger and more compelling services which help protect, manage and make the most of their data."
CSID uses its technology to access a range of data and scour the Internet in real-time to monitor websites, blogs, bulletin boards and chat rooms to identify the illegal trading and selling of personal information.
The company provides services including credit data, to notify consumers of potential abuse of their identities and to let them know their digital identity information is being sold or traded on the Internet.
CSID's clients include information services companies, retailers, financial institutions and other large institutions with large customer or membership bases. Its platform supports 10 million users worldwide, officials said.
Joe Ross, co-founder of CSID, said in a blog post that the deal will let CSID accelerate the development of products and services.
"Joining with the power and industry leadership of the Experian brand, we anticipate building stronger and ever more compelling services to help consumers and businesses protect and manage their personal data," Ross said.
CSID has 189 employees. Experian, based in Dublin, Ireland, has 17,000 workers in 37 countries.
Investcorp owns a majority stake in CSID through its technology fund, Investcorp Technology Partners III. The company initially invested in CSID in December 2009 and is now a majority owned by Investcorp.
