#Wall Street#GIC#Mergers & acquisitions#Blackstone#Thomas Reuters F&R#CPPIB#Canadian Pension Plan Investment Board

Blackstone acquires majority stake in Thomas Reuters Financial & Risk Business

Pouyan Broukhim
|Jan 31|magazine5 min read

New York-headquartered Blackstone has announced that it has entered into a definitive agreement with Thomas Reuters, acquiring a 55% stake in the company’s Financial & Risk (F&R) business.

Thomas Reuters F&R is a leading financial statistics firm, providing data, analytics and trading information to Wall street and financial professionals globally.

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The deal consists of a consortium, led by Blackstone, with both the Canadian Pension Plan Investment Board (CPPIB) and GIC having entered into the agreement with Thomas Reuters.

“The F&R division has tremendous assets, including a world-leading data business, essential risk and compliance solutions, OTC trading venues, wealth management software, and a strong desktop business,” said Martin Brand, a Senior Managing Director at Blackstone.

“The partnership with Blackstone provides an opportunity to increase efficiency and accelerate revenue growth through innovation and focus on creating uniquely compelling products for F&R’s customers.”

The deal, valued at $17bn, is Blackstone’s biggest financial investment in approximately a decade, marking a significant move into the financial analysis industry.

Thomas Reuters will retain the remaining 45% stake in business, receiving $3bn in cash and $14bn of debt and preferred equity, with the transaction expected to close in the H2 2018.