Encore Capital Group Inc., the San Diego collector of charged off credit card debt, said it closed the acquisition of the controlling equity stake in Cabot Credit Management Ltd. for $177 million.

The transaction involves the purchase of 50.1 percent equity in Janus Holding Luxembourg SARL, an indirect holding company of Cabot Credit, a business similar to Encore’s, and based in the United Kingdom and Ireland, the companies said.

The deal first announced in May settled at $17 million below the original price due to the redemption of certain bridge preferred equity certificates by the remaining 49 percent owner of Janus, a fund advised by J.C. Flowers & Co. LLC.

Encore said it has the option to purchase the remaining equity in Janus from the fourth to sixth year anniversary of this closing.

Encore said the CCM purchase gives it the ability to deploy capital globally in a market with strong growth potential, with the U.K. being the second largest mature debt market in the world after the United States.

CCM has purchased assets of more than $10 billion, and manages more than $1.3 billion in assets on behalf of clients. It has about 700 employees in offices in the U.K. and Ireland.

— SDBJ Staff Report