Everest Consolidator Acquisition has agreed to merge with Unifund, a group of consumer debt service companies focused on data science and analytics, in a deal that values the combined company at a pro forma enterprise value of about $232m.
In this regard, the special purpose acquisition company (SPAC) has signed a definitive business combination agreement with Unifund Financial Technologies, Unifund Holdings, and USV, which constitute Unifund.
Upon the closing of the transaction with Everest Consolidator, Unifund will become a public company and will trade on the Nasdaq stock market.
Founded in 1986, Unifund utilises its proprietary technology, analytics, and machine learning to acquire and service consumer debt receivables.
The company also offers custom recovery solutions and consumer data analytics for major banks, financial establishments, and other creditors across the US.
Unifund’s operations are divided into three lines of business, namely debt recovery, analytics, and retention solutions.
Unifund founder and CEO David Rosenberg said: “We are thrilled to join forces with Everest in this business combination.
“We believe that our expertise in data analytics and machine learning, combined with Everest’s robust financial backing and experience in public company governance, will allow us to further optimise borrowers’ lifetime value and offer value-added solutions to our clients across the United States.”
According to current estimates and pro forma for the acquisition, the combined business will have about $57m of cash.
Besides, the existing shareholders of Unifund are anticipated to roll 100% of their equity holdings into the enlarged entity.
Everest Consolidator chairman and CEO Adam Dooley said: “We are pleased to announce our strategic partnership with Unifund, a leading data science and analytics firm at the forefront of innovation in the consumer debt servicing arena.
“We believe that Unifund’s exceptional combination of strong profitability and attractive growth prospects positions it as an outstanding investment opportunity for our SPAC, reflecting our commitment to providing transformational growth capital and operational expertise to exceptional companies in the financial services industry.”
The transaction is anticipated to be completed in Q3 2023.
