USIS acquires HireRight for $19.75 per share

By Lisa Kerner

Charlotte, N.C., Aug. 21 - US Investigations Services, Inc. said it completed its $249 million acquisition of HireRight, Inc.

According to USIS, the strategic combination creates the largest employment screening company in the world.

HireRight shareholders, who approved the amended merger agreement on Aug. 18, will receive $19.75 per HireRight share, a USIS news release said.

Eric Boden, HireRight president and chief executive officer, will head the combined commercial business and report to USIS CEO Michael Cherkasky. Phillip McVey, president of USIS' commercial services division, will lead the business integration process.

In July it was reported that HireRight and USIS amended their June 9 merger agreement for the second time, increasing the consideration payable to HireRight stockholders to $19.75 per share in cash from $18.75. Under the terms of the original offer, USIS would pay HireRight stockholders $15.60 per share in cash in a deal valued at approximately $195 million.

USIS and its controlling stockholder, Providence Equity Partners, received financial advice from Lehman Brothers Inc. and Portico Capital Securities LLC.

Credit Suisse acted as financial adviser to HireRight.

USIS provides security screenings, background investigations, employment and drug screening services, automotive insurance underwriting services and national security solutions to government and corporate clients. The company is located in Falls Church, Va.

HireRight, based in Irvine, Calif., provides on-demand employment background and drug screening solutions.

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