CoreLogic Inc. agreed to buy three real estate data companies from TPG Capital’s Decision Insight Information Group for $661 million to expand its coverage of the property and casualty insurance industries.
CoreLogic will acquire Marshall & Swift/Boeckh, DataQuick Information Systems and the credit and flood-services unit of DataQuick Lender Solutions, the Irvine, California-based company said in a statement today. CoreLogic expects the deal to be completed within three months.
“The acquisition of MSB and DataQuick significantly expands our footprint in property and casualty insurance and adds additional scale to our existing property data and analytics business,” CoreLogic Chief Executive Officer Anand Nallathambi said in the statement. “In addition to the obvious financial benefits and cost synergies, the combination of CoreLogic, MSB and DataQuick should yield significant future growth opportunities.”
Companies are acquiring real estate information firms as the U.S. housing market recovers from a more than five-year slump. CoreLogic bought the Case-Shiller home-price indexes for $6 million in April, adding a widely used measure of U.S. property values to its real estate data. Fidelity National Financial Inc., the largest U.S. title insurer, agreed in May to acquire its former unit, Lender Processing Services Inc., in a $2.9 billion cash-and-stock deal to expand in the business of providing and analyzing mortgage data.
CoreLogic rose 4.8 percent to $24.29 at 10:48 a.m. in New York. It earlier gained as much as 8.3 percent, the most since April 25.
The deal with Decision Insight is part of a strategy to expand CoreLogic’s data and analytics business to make up more than half of total revenue, Nallathambi said today on a conference call with analysts.
The company was advised by Evercore Partners and Decision Insight was advised by Bank of America Merrill Lynch, according to the statement. TPG is a Fort Worth, Texas-based private-equity firm started by David Bonderman and James Coulter.