It is thought that the move could see Experian raise up to 拢1bn through share sales to fund expansion in Russia and the Far East. Subject to shareholder approval, the two businesses will be listed separately on the London Stock Exchange in six to 12 months' time.
Experian is planning to sell 10-15 per cent of its ordinary share capital to fund the international development, specifically in Russia, China, Korea and Japan. The company already has a presence in all of these countries, and has released Mosaic classifications for Japan, Hong Kong and China.
If Experian's Marketing Services arm expands to China, it would join its rival Acxiom, which already has a presence in the country. China is unchartered territory but offers huge growth opportunities. The average Chinese citizen is said to receive eight pieces of direct mail a year, compared with UK consumers who receive an average of 14 a month.
However, John Dobson, managing director of Eurodirect, whose Cameo classifcation covers Japan and Hong Kong, said the move will not be an easy one: "Providing full marketing services in these countries in their own languages will be challenging, although probably less challenging than its credit business. If Experian buys organisations it will be easier, but the question is whether those companies have developed skill sets."
As part of the deal, Experian will take on GUS's 拢2bn debt. During the last year, Experian has bought 拢800m worth of businesses.
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