Equifax inks definitive agreement to buy Kount

The global data, analytics and technology company, Equifax has signed a definitive agreement to acquire Kount for $640 million. The acquired company is a provider of Artificial Intelligence (AI)-driven fraud prevention and digital identity solutions.

This acquisition will expand the Equifax worldwide footprint in digital identity and fraud prevention solutions, helping businesses better engage with their customers while combating fraud with the Kount Identity Trust Global Network - the industry's leading risk-based authentication platform.

"As digital migration accelerates, managing authentication and online fraud while optimizing the consumer's experience has become one of our customers' top challenges. The acquisition of Kount will expand Equifax's differentiated data assets to bring global businesses the information and solutions they need to establish identity trust online," said Mark W. Begor, CEO of Equifax. "Equifax is taking advantage of our strong 2020 outperformance and cash generation to make this strategic acquisition. Our data and technology cloud investments allow us to quickly and aggressively integrate new data and analytics assets like Kount into our global capabilities and bring new market leading products and solutions to our customers."

The result of a strong patent portfolio, the Kount Identity Trust Global Network uses AI to link trust and fraud data signals from 32 billion digital interactions, 17 billion unique devices, and five billion annual transactions across 200 countries and territories. As more signals are collected and combined with Kount's AI-driven analytic insights, they become more predictive, helping to prevent digital fraud and protect against account takeovers in real time while enabling personalized customer experiences.

"Together, Equifax and Kount will leverage a powerful set of differentiated data assets and advanced analytics to deliver a high performance, integrated view of both digitally-native transactions and signals and traditional offline identity fraud risk indicators while maintaining privacy and security at the highest levels," said Sid Singh, President of United States Information Solutions (USIS) at Equifax. "Whether you're a bank, e-commerce provider, or a car dealer, today's environment demands that consumers have the same - if not better- experience on their digital platform as they do on a major e-commerce retailer's site. We are enabling businesses across industries to establish strong digital identity trust behind every interaction while facilitating new forms of online engagement with current and prospective customers."

Identity trust determines the level of trust for each identity behind every payment, account creation, and login event. Businesses can determine the level of trust and risk they are comfortable accepting in order to block fraud in real time and to enable personalized customer experiences. Quick and accurate identity trust decisions can deliver safe payments, account creations, and login events, while reducing digital fraud, chargebacks, false positives, and manual reviews.

"More than 9,000 brands worldwide rely on the Kount Identity Trust Global Network to protect against digital fraud while enabling personalized customer experiences and new e-commerce channels," said Bradley Wiskirchen, CEO of Kount. "We are excited to be able to offer Kount solutions with an expansive set of Equifax data, analytics and products. Equifax's global reach will accelerate Kount's international adoption, allowing us to help more businesses around the world to better protect their digital innovations and their customers against emerging threats while improving the customer experience."

Kount employees will join the Equifax USIS business unit and will continue to be based in Boise, Idaho. The transaction is subject to customary closing conditions and regulatory review, and is expected to close in the first quarter of 2021.