Credit Karma acquires Noddle to launch in UK
Prompting this move is the San Francisco-based company’s acquisition of Noddle, a start-up headquartered in the UK that offers users free access to their credit report.
Credit Karma made the purchase from TransUnion, which received Noddle as a part of its purchase of CallCredit for $1.4 billion in April of this year.
The financial terms of the agreement are not disclosed but it appears to be purely cash-based; TransUnion is not taking any stake in Credit Karma. The deal is expected to close later this year or early next year.
“Noddle’s similar mission and history as the first provider of free credit information in the UK made this a clear decision for Credit Karma,” says Credit Karma’s VP of international, Valerie Wagoner.
Noddle’s 35+ employees will join the Credit Karma workforce of more than 700. Credit Karma has “immediate plans” to expand its team in the UK, and aims to “more than double” the UK team – which will be based in London and Leeds – over the next year.
The acquisition includes Noddle’s employees, technology, and clients – more than four million of them. This number boosts Credit Karma’s existing North American user base which currently sits at more than 85 million members.
Founded in 2007, Credit Karma has finalised five acquisitions, making this latest purchase of Noddle its sixth. After receiving a $500 million secondary investment round in March, the company boosted its valuation to $4 billion.