The leading global provider of critical information and analytics will fund the transaction with 10% equity and the remainder with cash on hand, cash from an existing revolver and a new bank term loan.

‘The acquisition of RL Polk brings extensive and complementary information and analytical solutions that would establish IHS as a vital strategic partner of the global automotive value chain,’ said IHS CEO Scott Key.

‘RL Polk has a long history of providing critical information to the automotive industry. The combination with IHS Automotive creates a comprehensive capability that will significantly enhance customers’ insights and decision processes across the full vehicle lifecycle with analytics from product planning through manufacturing, sales and into automotive aftermarkets.’

RL Polk consists of two divisions – Polk and Carfax – that provide market intelligence, powerful tools and analytics and extensive vehicle history data.

Mr Key said that the products and services offered by RL Polk are ‘complementary to existing IHS Automotive solutions and open up large adjacent markets’. The acquisition, he said, would also provide IHS with a high-growth US asset, Carfax, that can be replicated in other geographies to take advantage of the expected high growth in worldwide used car markets.

‘The continued growth and transformation of the automotive industry through the next decade, led by global growth in light vehicle demand, technological changes and the transformation of the OEM supply chain, will fuel strong growth in demand for data, research and analytics to support investment decisions,’ Mr Key said.

‘IHS has successfully acquired and integrated more than 50 acquisitions since 2007. We look forward to combining RL Polk’s market-leading information with IHS Automotive’s industry-leading forecasts and insights to create new efficiencies for customers and reduce decision times.’

The agreement is subject to the customary closing conditions.