Stellex Capital Management LLC Acquires G2, LCI, and Fintellix

Rhea-AI Summary

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.

Positive

• Acquisition positions Stellex as a significant player in digital risk and compliance sectors.
• Planned investments in the Platform's technology and capabilities may enhance service offerings.
• Brian Longe's extensive experience could drive growth and innovation in the new organization.

Negative

• None.

NEW YORK--(BUSINESS WIRE)-- An affiliate of Stellex Capital Management LLC (“Stellex”) has acquired G2 Web Services, Inc. (“G2”), Lundquist Consulting, Inc. (“LCI”) and Fintellix India Private Limited (“Fintellix”, together with G2 and LCI, the “Platform”) from TransUnion (NYSE: TRU).

The Platform is comprised of leading and tenured businesses, focusing on deploying sophisticated data-driven solutions to provide mission-critical risk, fraud mitigation, and regulatory compliance services to their respective global clients within the financial and digital commerce sectors. An affiliate of Stellex will be investing in the Platform’s people, technology, and products with the goal of continuing to enhance its value proposition to customers.

In conjunction with the transaction, Stellex named Brian Longe as Chief Executive Officer of the newly formed Platform. Mr. Longe brings over 30 years of experience growing technology and data services businesses in both private equity backed and public markets settings. Most recently, he served as the CEO of Sontiq, a top-rated identity theft protection provider to businesses and consumers. Prior to Sontiq, Mr. Longe served as the CEO of Wolters Kluwer Financial Services and American Stock Transfer & Trust Company LLC.

“I am thrilled to lead the next phase of growth of these exceptional businesses. In partnership with Stellex and the Platform’s teams, we will strive to be bolder and at the forefront of innovation, and providing the highest standard in quality and reliability for our customers,” said Mr. Longe. “As the digitalization of workflows, ecommerce growth, the rising cost of fraud, and increased regulations continue to create more complex pain points for our clients, we will be working alongside them and delivering them leading solutions.”

“We are excited about the acquisition of the Platform which together will form Stellex’s data-centric digital risk and compliance platform,” said Irina Krasik, Managing Director at Stellex. “We believe these businesses are well poised for growth as they already hold commanding positions in their sectors and we will look to invest in their capabilities organically and through M&A.”

The transaction closed on December 30, 2022. DLA Piper acted as legal counsel to Stellex.

About G2 Web Services, Inc.

G2 has been a leading provider of merchant onboarding and monitoring services since 2004. G2 clients leverage a robust merchant risk data to ensure greater protection and productivity for their businesses. Risk professionals gain insights, refined by machine learning and expert analysts, along with superior client service-all at enterprise scale.

About Lundquist Consulting, Inc.

LCI delivers bankruptcy and consumer behavioral data, process automation software, expert services, and research to automate expensive processes in the bankruptcy life cycle. With expertise in the financial industry, specifically focusing on at-risk accounts, Lundquist Consulting innovates, develops, and delivers solutions that provide superior information and improved profitability.

About Fintellix India Private Limited

Fintellix is a leading provider of digital and regulatory solutions covering data management, multi-country regulatory reporting, credit risk and loan loss calculations, and supervisory technology to the Banking & Financial Services industry across India, US, UK, Middle East, Africa, Australia, Singapore, Hongkong, and South-East Asia.

About Stellex Capital Management LLC

Stellex is a global, multi sector investment firm with offices in New York, Detroit, Pittsburgh and London with over $2.6 billion in assets under management. Founded in 2014, Stellex seeks to identify and deploy capital in opportunities that have the potential to provide growth, stability and operational improvement. Portfolio companies benefit from Stellex’s industry knowledge, operating capabilities, network of senior executives, strategic insight and access to capital. Sectors of particular focus include both tech-enabled and data services, business services, industrial manufacturing, aerospace & defense, government services, transportation, logistics and food. Additional information may be found at www.stellexcapital.com.

About TransUnion (NYSE: TRU)

TransUnion is a global information and insights company that makes trust possible in the modern economy. We do this by providing an actionable picture of each person so they can be reliably represented in the marketplace. As a result, businesses and consumers can transact with confidence and achieve great things. We call this Information for Good®.

A leading presence in more than 30 countries across five continents, TransUnion provides solutions that help create economic opportunity, great experiences and personal empowerment for hundreds of millions of people.

http://www.transunion.com/business

View source version on businesswire.com: https://www.businesswire.com/news/home/20230103005153/en/

Media:

Rosalia Scampoli

Marketcom PR

914-815-1465

rscampoli@marketcompr.com

Source: Stellex Capital Management LLC

FAQ

What did TransUnion (NYSE: TRU) announce regarding its acquisition?

TransUnion announced the sale of G2 Web Services, Lundquist Consulting, and Fintellix to Stellex Capital Management on December 30, 2022.

What are the strategic goals of Stellex following the acquisition of TRU's businesses?

Stellex aims to enhance the value proposition of the acquired companies through investments in technology and talent, focusing on digital risk and compliance solutions.

Who is the new CEO of the acquired platform from TransUnion?

Brian Longe has been appointed as the CEO of the newly formed platform following the acquisition.

How does the acquisition impact TransUnion's position in the market?

The sale may allow TransUnion to focus on its core services while Stellex expands its capabilities in the digital risk and compliance areas.

What date did the acquisition of G2, LCI, and Fintellix by Stellex close?

The acquisition closed on December 30, 2022.