Neustar Inc. (NYSE: NSR) will acquire Targus Information Corp. for approximately $650 million in cash, a move Neustar said will significantly expand its position in the $30 billion information services market.
Neustar expects the move to increase its earnings per share in the year after closing by at least 20 cents. The company also said it should increase annual revenue to $750 million.
Neustar expects to fund the acquisition with current cash and $600 million in committed financing.
The transaction is expected to close in the fourth quarter pending regulatory approval.
TARGUSinfo is an independent provider of real-time, on-demand information for caller ID, communication and online information services, including verification and scoring.
“With TARGUSinfo, we are gaining a highly complementary and profitable set of services, ” said Lisa Hook, president and CEO of Neustar.”We are confident that this transaction will generate significant benefits for shareholders and customers.”