GB Group specialises in identity intelligence software that lets organisations verify people's identities, track their locations and validate their documents. It should benefit from international expansion as well as growth in online transactions, personal data and data regulations.
"The growing importance of identity data intelligence coupled with GBG’s robust global platform supported by a vast network of data suppliers makes it a strategic asset," the analysts said.
GBG’s addressable market is worth about $10 billion, and Jefferies estimates it may reach a compound annual growth rate of about 11%, reaching an estimated $16.4 billion by about 2022.
Advantages: good management and track record, pricing power, high barriers to entry, cash generation
Source: Jefferies