Atlanta-based Intercontinental Exchange Inc. (ICE) has announced that it’s acquiring Standard & Poor’s Securities Evaluations, Inc. (SPSE) and Credit Market Analysis (CMA) from McGraw Hill Financial Inc.’s S&P Global Market Intelligence division to build up its data services capabilities.
SPSE is a provider of fixed-income pricing and CMA supplies data on over-the-counter (OTC) markets. The terms of the deal, which is subject to regulatory approval, were not disclosed.
The deal will enable ICE to offer customers new data and valuation services, says Jeffrey Sprecher, chairman and CEO of ICE, in a statement announcing the deal.
“With rising demand for independent data in the global fixed-income and credit markets, this transaction will support the need for innovation and increased risk management and valuation services,” he says. “We look forward to serving customers in these markets as they become more transparent, and as pricing becomes more accessible.”
McGraw Hill decided to sell the businesses because it doesn’t have adequate scale in this area, says Mike Chinn, president of the firm’s S&P Global Market Intelligence division.
“After a strategic review of our portfolio, we determined that we do not have critical mass in the area of securities pricing,” he says. “ICE is positioned to expand coverage in derivatives and offer a multi-asset class, comprehensive source for pricing and reference data, so clients of SPSE and CMA will benefit as well.”