Travers Smith LLP has advised longstanding client Bridgepoint and other selling shareholders on the £130m sale of 1st Credit to European credit management services group Intrum Justitia. The transaction is subject only to regulatory consent and is expected to complete in the first quarter of 2017.
The Travers Smith team was led by private equity partner Edmund Reed, supported by private equity associates Laura Pembridge, Geraint Steyn and Robert Coward. Specialist tax advice was provided by tax partner Simon Skinner and tax associates Andrew Callaghan and Amie McFadzean.
1st Credit is an award-winning ethical debt purchaser that acquires debt portfolios from banks, utility suppliers and telecoms companies and enters into long-term repayment agreements with consumers.
Headquartered in Reigate, 1st Credit was acquired by Bridgepoint in 2004. It has over 100,000 customers and arrangements of more than £300m. In 2015 it increased collections revenue by 18% to £50.1m and reported EBITDA of £33.2m, up from £27.3m in 2014. The company holds a position on all major debt purchase panels in the UK.
Intrum Justitia, which is listed on the Stockholm Nasdaq, has more than 90 years of experience, 19 offices across Europe and an international network covering 160 additional countries.
Intrum Justitia was advised by Baker & McKenzie.