Intrum Justitia AB has acquired Profidebt s.r.o., a market leader in purchased debt in the Czech Republic, for a consideration of approximately EUR 31 million ($41.9 million).
Profidebt’s assets consist mainly of a diversified portfolio of receivables, deriving from investments over a number of years, from many different sellers in several industries. The company has around 70 employees, mainly involved in the collection of its purchased debt portfolios, as well as a smaller unit for credit management services to external clients.
Profidebt also controls certain forward flow contracts generating future case volumes. During 2014, Profidebt will be integrated with Intrum Justitia’s Czech unit, which has about 30 employees, mainly focusing on credit management services.
“With the acquisition of Profidebt, we will strengthen our market position in the Czech Republic significantly. We will gain access to a diversified portfolio of receivables, forward flow contracts as well as valuable payment data that will strengthen both our purchased debt and our credit management services business,” says Lars Wollung, President and CEO of Intrum Justitia AB.
The complete portfolio has been analyzed and assessed in accordance with Intrum Justitia’s customary principles and return requirements. The acquisition will be consolidated from February, 2014.
Intrum Justitia is Europe’s leading Credit Management Services (CMS) group, offering comprehensive credit management services, including Purchased Debt, designed to measurably improve clients’ cash flows and long-term profitability. Founded in 1923, Intrum Justitia has some 3,500 employees in 20 markets. Consolidated revenues amounted to approximately SEK 4.1 billion in 2012. Intrum Justitia AB has been listed on the NASDAQ OMX Stockholm exchange since 2002. For further information, please visit www.intrum.com