Rupert Murdoch’s Fox Corp has agreed to buy ASX-listed student loan firm Credible Labs in a $585 million deal.
Fox Corp has offered $2.21 per chess depository interest, which represents $55.25 per share common stock and a 7.3 per cent premium to Friday’s closing price of $2.06.
The media giant has also committed to investing up to $US75 million ($A110 million) in additional equity into the US-focused business, which is an online marketplace that specialises in student loan refinancing but has branched out into new loans for students and others.
The service is free to borrowers and Credible, which was founded in 2012 and listed on the ASX in 2017, is paid a fee by the lenders.
“Credible has achieved significant success since its inception,” chairman Ron Suber said.
“This proposed partnership with Fox will enable Credible to further innovate on its consumer offering and position itself as a leading independent personal finance marketplace in the United States.”
Credible’s board is unanimously recommending shareholders accept the bid from Fox Corp, which owns Fox News, Fox Sports and Fox Television Stations.