LendingTree has acquired Iron Horse Holdings, which does business under the name CompareCards. CompareCards is a leading online source for side-by-side credit card comparison, comprehensive credit education and credit health management. CompareCards provides consumers with one centralized location for pertinent credit card information needed to find the best card for their needs.
“CompareCards has an established reputation as a leader in the online credit card comparison industry with solid issuer relationships and un-matched expertise in credit card search engine marketing,” said Doug Lebda, founder and CEO of LendingTree. “We continue to execute on our strategy, leveraging LendingTree’s brand and industry-leading position to further diversify and expand in other financial service categories. We strongly believe that Compare Cards’ technology platform, established issuer relationships and expert industry knowledge will accelerate our growth and further expand our presence in the online credit card comparison shopping industry.”
“We are very pleased to join the LendingTree team and excited about our future together,” said Chris Mettler, Founder and President of CompareCards. “We are confident that our core competencies, particularly as it relates to consumers with prime credit, will enhance LendingTree’s ability to capture meaningful market share in the credit card vertical.”
The equity purchase has a possible total consideration of $130 million, which consists of $85 million in cash at closing (to be adjusted for working capital and transaction expenses), and contingent consideration payments of up to $22.5 million in each of 2017 and 2018, subject to achieving specified growth targets.