ClearScore, the credit score info supplier which got here near being swallowed up by FTSE-100 large Experian seven years in the past, is reaffirming its impartial progress prospects with the acquisition of a smaller UK fintech.
Folks near the deal stated it could add a contemporary income stream to ClearScore’s enterprise, which already serves practically 24 million customers globally.
The Aro Finance deal represents ClearScore’s second acquisition, following its 2022 buy of Cash Dashboard.
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The phrases of the transaction, which is topic to approval by the Metropolis watchdog, have been unclear on Monday, and ClearScore declined to reveal them.
Aro’s expertise embeds its credit score market proposition inside companions’ digital infrastructure.
Different customers of Aro’s merchandise embrace Very Group, the web retailer which varieties a part of the Barclay household’s shrinking enterprise empire.
ClearScore – which is touted as a possible medium-term flotation candidate by bankers – launched a credit score compensation service known as Clearer final summer time, which robotically repays bank card money owed and different loans from customers’ out there funds.
“This acquisition allows us to continue our growth by expanding into two complementary areas as a credit broker, namely embedded finance and secured second charge lending,” Justin Basini, ClearScore’s chief government, stated.
“We see a significant growth opportunity in second charge mortgages, and this will be a critical part of our debt consolidation proposition and business growth going forward.
“The addition of Aro’s market capabilities to the group completely aligns with our current data-driven strategy and can permit us to achieve new customers by retail channels.”
Aro Finance employs roughly 90 individuals.
ClearScore, which is backed by funds together with QED, Invus Opps and Lead Edge Capital, was on the point of being purchased by Experian for £275m in 2018.
The deal was deserted for antitrust causes a number of months later.
