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Alliance Data Systems To Sell Epsilon Business To Publicis Groupe For $4.4 Bln

Alliance Data Systems Corp. (ADS), a provider of data-driven marketing and loyalty solutions, said Sunday that it agreed to sell its Epsilon business to Publicis Groupe (PGPEF.PK,PUBGY.PK) for $4.4 billion in cash.

The transaction, which is expected to close in early third-quarter of 2019, was approved by Alliance Data's Board of Directors.

Alliance Data expects net cash proceeds, after tax obligations and fees associated with the transaction, to be $3.5 billion. It expects to use the full amount to repurchase shares and pay down corporate debt.

Alliance Data Systems said the transaction will be accretive to core earnings per share guidance of $22 and highly accretive on a GAAP basis.

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