London, U.K.-based financial information firm Markit Group Ltd. announced on Wednesday that it’s acquiring New York-based CoreOne Technologies, which provides a variety of back-office services to financial services firms.
Markit is paying approximately US$200 million for CoreOne in a deal that will be funded using cash and its credit facility. The transaction is expected to close in the fourth quarter, subject to regulatory approval, and is expected to be accretive to adjusted earnings per share immediately.
CoreOne provides a range of services to financial services firms, including banks, asset managers, sovereign wealth funds, custodians and exchanges. It offers regulatory reporting, index and data management services and prime brokerage services.
“I’m delighted to announce our acquisition of a highly regarded company with a dynamic, entrepreneurial culture similar to Markit. Their services will strengthen our offerings and will allow us to better serve our customers,” says Lance Uggla, chairman and CEO of Markit, which has offices in Toronto, Calgary and Vancouver, in a statement.
“The transaction is consistent with our long-term strategy to accelerate organic growth through acquisitions, and will enhance our position as a leading provider of financial information services,” adds Uggla, a Canadian who founded Markit in 2003 in St Albans U.K.