NCO Group Acquires Majority Stake in Australian Collection Agency

by Patrick Lunsford CollectionIndustry.com

In a deal announced at the end of June, NCO Group has acquired a 75% stake in Melbourne, Australia-based Australian Receivables Limited (ARL). Financial terms of the transaction were not disclosed.

The acquisition gives NCO a foothold in the Australian debt collection market. NCO Group Chairman and CEO Mike Barrist said in a press release that the move into Australia was part of a strategic global expansion for the company. ?NCO?s mission is to be the world leader in providing outsourced business processes. Early on we identified Canada, the UK and Australasia as key markets,? said Barrist.

Barrist said that when NCO was looking at Australia, ARL was already building a solid business on values and standards similar to NCO?s. ?The synergies were obvious and so we decided to join forces with ARL,? he commented.

As of July 1, Barrist assumed control of ARL?s board. According to the company, however, current ARL Managing Director, Paul Cooney, and his management team will continue to run the business. Cooney will also remain a major shareholder.

Cooney said that the deal with NCO will open the way for exciting opportunities to grow the ARL business in Australia and New Zealand. ?The market is desperate for professionally delivered, customer-focused service supported by leading edge technology and highly motivated and professional staff,? he said. ?We will continue to deliver just that, but now we will do it with the backing of the world?s biggest and best.?

ARL is a private collection agency in Australia and, according to Cooney, the firm will continue to remain unlisted.