Nasdaq in the present day revealed that it’s doling out $10.5 billion to amass Adenza, an organization that develops risk-management and associated regulatory software program for the monetary companies market.
The megabucks deal, which constitues an excellent combine of money and inventory, will prolong Nasdaq’s serviceable addressable market (SAM) to $34 billion, the corporate mentioned in press release in the present day, $10 billion greater than what it’s in the present day. The deal additionally sits among the many greatest acquisitions of the 12 months up to now, second solely to Qualtrics’ $12.5 billion acquisition introduced just a few months again.
Two turn out to be one
Adenza emerged from two acquisitions that Thoma Bravo made up to now few years. The private-equity powerhouse snapped up AxiomSL in 2020 adopted by Calypso Know-how the following year, earlier than merging the two companies beneath the brand new Adenza model in late 2021.
With twin headquarters in London and New York, Adenza serves banks, insurance coverage corporations, broker-dealers, and comparable monetary service corporations with an end-to-end platform spanning all the pieces from information administration to reporting, out there both through an on-premises set up or the cloud.
With Adenza beneath its wing, Nasdaq — which operates three inventory exchanges within the U.S. and 7 in Europe — mentioned it is going to be higher positioned to supply “complete help to monetary establishments” throughout regulatory know-how, compliance and threat administration.
“That is an distinctive alternative to amass a number one software program firm that enhances Nasdaq’s place on the coronary heart of the worldwide monetary system,” Nasdaq chair and CEO Adena Friedman mentioned in a press release. “The acquisition of Adenza brings collectively two world-class franchises steeped in market infrastructure, regulatory, and threat administration experience at a time when monetary establishments are navigating a number of the most advanced market dynamics in historical past. From fast-evolving world rules to quickly rising pressures to modernize infrastructure, our shoppers are searching for trusted companions geared up to help them on this difficult atmosphere.”
Nasdaq mentioned it expects to shut the deal throughout the subsequent 9 months.