Financial Technology, Data, and Analytics

Dear Clients and Friends,

Fintech demand remains strong. Our report found below highlights some of the m&a trends and transactions in the seven segments of the Fintech world that we follow and sometimes lead. Please find our latest Fintech m&a Market Update below.

The Fintech world is rapidly changing. It is being reshaped by innovative, fast growing companies that have found effective, new ways to solve old problems – and those who would partner with them to help reinvent this world. This week, we announced the completion of our sixth transaction in as many months; our client Investment Metrics, a Darien, CT-based provider of powerful performance analytics and reporting software to the investment management industry, has received a significant equity investment from Resurgens Technology Partners and HarbourVest Partners, both well-regarded PE firms. Investment Metrics is a creative firm finding better solutions to real problems. Shortly before that we advised on a $175 million Fintech refinancing that has not yet been announced – and we expect to close another Fintech transaction within weeks.

Last week, we were pleased to learn that we have been named as the 2017 “Boutique Investment Bank of the Year (US)” by ACQ5, and also that a Fintech transaction on which we advised last year was named as the “Cross-Border Deal of the Year”. (We were recognized for our role as the strategic and financial advisor to another innovator, Xignite, in its Series C funding round led by Tokyo-based QUICK Corporation, part of the Nikkei Group and Japan’s largest financial information provider.) 

It’s clear to us that the demand for innovative, growing Fintech firms that have achieved scale has not diminished. There is a wide range of corporate and financial buyers with deep pockets and a strong desire to partner with management and participate in the reshaping of this rapidly evolving marketplace. We are pleased to be advising many of them.

You can see more about the trends and deals in Fintech m&a in the following report. They clearly demonstrate that across the board, values and volume in this world remain strong.

Some of the more interesting deals this past month include:

• Moody’s Corporation (NYSE:MCO) agreed to acquire Bureau van Dijk for €3.0bn (~$3.3bn), valuing the company at an implied 11.6x LTM revenue,
• First Data (NYSE:FDC) agreed to acquire CardConnect (NASDAQ:CCN) for $750mm valuing the company at an implied 4.6x LTM revenue and 27.8x LTM EBITDA,
• London Stock Exchange Group (LSE:LSE) agreed to acquire The Yield Book and Citi Fixed Income Indices for $685mm,
• FLEETCOR Technologies (NYSE:FLT) agreed to acquire Cambridge Global Payments for $675mm,
• Cowen Group (NASDAQ:COWN) agreed to acquire Convergex Group for $116mm.

Please see our full June Fintech m&a Market Update below.