Alliance Data To Buy About $1 Bln Prime-Only Credit Quality Accounts From Signet

(RTTNews) - Alliance Data Systems Corp. (ADS), a provider of data-driven marketing and loyalty solutions, announced Thursday that it will acquire prime-only credit quality accounts with a value of approximately $1 billion in receivables from Signet Jewelers (SIG), the largest specialty jewelry retailer in the U.S.

Alliance Data's Ohio-based card services business and Signet Jewelers signed an agreement.

In addition, the two companies entered into a long-term agreement where Alliance Data will become the primary issuer of private-label credit cards and related marketing services for Signet, building on its existing relationship with Zale brands.

Alliance Data will also acquire a portion of Signet's existing customer care operations in Ohio, including approximately 250 employees, as part of the transaction.

Closing of the transaction is expected in the fourth quarter of 2017, subject to regulatory approval and customary closing conditions, and without disruption to Signet's business during the holiday season. Further terms of the agreement were not disclosed.