TransUnion - TRU STOCK NEWS

TransUnion’s 2023 Trends and Outlook Report reveals a significant shift towards digitalization in the life insurance market, with over 40% of consumers utilizing online platforms for purchases. The report, based on a survey of 2,907 U.S. adults, indicates that while digital adoption is growing, 34% of consumers remain uninsured, mainly due to a lack of perceived need. Additionally, commercial insurance faces challenges, as 91% of respondents prefer online quotes, but only 28% have obtained one. Rate hikes could pressure insurers, prompting a need for more competitive pricing and efficient underwriting.

New Study on Outbound Communications

A recent study by Neustar, commissioned by Forrester Consulting, highlights that 87% of business executives see phones as crucial for customer outreach. However, challenges like spam tagging and fraud concerns hinder communication. Key findings show that 40% use customer contact solutions for optimization, leading to improved customer retention (57%) and satisfaction (68%). Furthermore, 69% of users report increased revenues attributed to better efficiency and customer experiences.

TransUnion (NYSE: TRU) has completed the sale of G2 Web Services, Inc., Lundquist Consulting, Inc., and Fintellix India Private Limited to Stellex Capital Management for $176 million. This transaction is subject to standard purchase price adjustments. This move reflects TransUnion's strategy to streamline operations and focus on core areas of growth. The company emphasizes its role in providing actionable insights and fostering economic opportunities within a global marketplace.

Stellex Capital Management LLC has acquired G2 Web Services, Inc., Lundquist Consulting, Inc., and Fintellix India Private Limited from TransUnion (NYSE: TRU). This acquisition aims to create a data-centric digital risk and compliance platform to serve financial and digital commerce clients. Stellex plans to invest in the Platform's technology and talent to enhance customer value. Brian Longe has been appointed CEO, bringing over 30 years of relevant industry experience. The transaction closed on December 30, 2022, with legal counsel provided by DLA Piper.

TransUnion (NYSE: TRU) has been recognized as a Leader in The Forrester Wave™ Identity Verification Solutions for Q4 2022, becoming one of only three companies to earn this title. The company achieved the highest scores in Market Presence, Execution Roadmap, Planned Enhancements, and Supporting Products and Services. This recognition highlights TransUnion's significant investments in global fraud solutions as digital transactions rise. Their TruValidate™ solution provides comprehensive consumer insights, aiding businesses in identifying risks and ensuring secure transactions.

TransUnion forecasts major changes in the consumer credit market for 2023, expecting rising delinquency rates for credit cards and personal loans not seen since 2010, with credit card delinquency projected to reach 2.60%. Despite ongoing economic challenges, demand for auto and home equity loans is anticipated to rise. Credit card originations are expected to decline from 87.5 million in 2022 to 80.9 million in 2023, but remain higher than pre-pandemic levels. Consumers remain optimistic about their financial future, even amid recession fears.

First Orion, Hiya, Neustar, and Transaction Network Services (TNS) have formed a strategic partnership to enhance industry-wide call vetting and authentication standards. This collaboration enables trusted calls to over 285 million mobile devices and 90 million landline households in North America. The initiative includes best practices for business validation and call authentication, fostering a secure communication environment to mitigate scams. This unified framework aims to restore trust in voice communication, ultimately improving customer engagement and enterprise revenues.

TransUnion conducted an analysis revealing that two-thirds of delinquent child support payments stay in arrears for over a year. The report indicates that 95% of such accounts will remain delinquent for at least three years. It identifies three key credit behaviors predictive of child support delinquencies: expanding credit lines, sharp increases in credit utilization, and reduced credit availability. The research indicates that traditional credit scores alone are insufficient for assessing the risk of missed payments. The findings suggest the need for tailored outreach to prevent delinquencies.

TransUnion (NYSE: TRU) has signed a definitive agreement to divest G2 Web Services, Lundquist Consulting, and Fintellix to Stellex Capital Management for $176 million. The deal includes $104 million in cash and a $72 million note, expected to close by year-end, pending regulatory approval. The net proceeds will be used to pre-pay debt. This divestiture enhances the value of the company’s previous acquisition of Verisk Financial Services, which was purchased for $515 million. Argus Information is performing well with 4% revenue growth in Q2 and Q3 2022.