Milestone Partners sells Heights Finance to CURO in $360m deal

CURO Group Holdings, a tech-enabled, omni-channel consumer finance company, announced that it has completed its previously announced acquisition of Heights Finance, a consumer finance company that provides installment loans and offers customary opt-in insurance and other financial products, from Milestone Partners, a private equity firm. Total consideration of $360 million is comprised of $335m cash and $25m of CURO common stock.

“The closing of this acquisition represents a key strategic milestone for CURO and we are looking forward to capitalizing on the significant growth opportunities that Heights Finance brings to our business,” said Don Gayhardt, CEO of CURO. “The acquisition accelerates CURO’s strategic transition in the U.S. toward longer term, higher balance and lower rate credit products which provides the company with access to a larger addressable market while mitigating regulatory risk.”

Get the week’s top news delivered directly to your inbox – Sign up for our newsletter

Sign up

As previously announced, the transaction is anticipated to be immediately accretive to CURO’s earnings. The acquisition’s aggregate purchase price of $360 million represents 6.5x Heights Finance’s 2022 estimated adjusted earnings before taxes of $55 million.

CURO’s management team plans to discuss its quarterly and annual results and business outlook during its fourth quarter 2021 earnings conference call, which will be scheduled in January 2022.

Source: Business Wire

Can’t stop reading? Read more