Equifax Acquires Mexican Credit Company for $750 Million

en.Wedoany.com Reported - Equifax (EFX) announced the acquisition of Círculo de Crédito, a leading credit information service provider in Mexico, for an enterprise value of $750 million. The acquisition will enable Equifax to enter the fast-growing Mexican market—the second-largest economy in Latin America—and integrate Círculo de Crédito's customer resources, offering Equifax's cloud-native capabilities, EFX.AI proprietary technology, and identity protection and fraud prevention solutions to develop products that drive customer growth and expand financial inclusion.

Círculo de Crédito has demonstrated strong financial performance, with estimated revenue of $134 million for the 12 months ended June 30, 2026, representing a 31% year-over-year increase, and adjusted EBITDA of $62 million. The company expects to maintain double-digit revenue growth in 2026 and contribute to Equifax's adjusted earnings per share in the first full fiscal year following the acquisition's completion. Equifax CEO Mark W. Begor stated that the acquisition aligns with the company's strategy of reinvesting free cash flow into value-enhancing acquisitions, marking the 17th bolt-on acquisition completed in the past six years, totaling nearly $5 billion. He noted that over 25% of Mexico's population lacks access to formal financial products, and nearly 44% are unbanked, with both companies committed to expanding consumer credit offerings.

Círculo de Crédito is currently the only institution in Mexico operating both consumer and commercial credit reporting services, with over 1,700 clients across banking, retail, fintech, microfinance, and other sectors, as well as 2 billion transaction records covering 80 million verified identities. The company is a leader in alternative data, including gig economy transactions and utility and telecommunications payment histories, which can expand credit access—particularly important in Mexico, where over 33 million people are employed in the "informal" sector.

Under the agreement, Equifax will acquire all equity of Círculo de Crédito from existing shareholders, including Banca Afirme, Coppel, Grupo Elektra, and a group of private investors. Following the acquisition, Círculo de Crédito CEO Juan Manuel Ruiz Palmieri and his team will continue to lead the company, integrating into Equifax's international operations. The transaction is subject to customary closing conditions and regulatory approvals, with completion expected in the fourth quarter of 2026.