BlackRock, the world’s largest asset management company, has announced an agreement to acquire UK-based data firm Preqin for 2.55 billion pounds ($3.23 billion) in cash. This strategic move aims to bolster BlackRock’s presence in the private markets data segment.
The acquisition is set to enhance BlackRock’s Aladdin technology platform by integrating Preqin’s extensive data, research, and investment process capabilities. Aladdin, BlackRock’s portfolio management software, provides investment professionals with tools to view and manage their daily investments. Despite the integration, Preqin will continue to be available as a standalone solution.
Preqin is projected to generate approximately $240 million in recurring revenue in 2024 and has experienced an annual growth rate of around 20% over the past three years. Founded in 2003, Preqin specializes in data on the alternative investment industry and serves subscribers in more than 90 countries.
This acquisition highlights BlackRock’s commitment to expanding its data capabilities and providing comprehensive solutions to fund managers. The transaction also marks a significant addition to BlackRock’s tech portfolio, aiming to deliver enhanced value to its clients.
Mark O’Hare, the founder of Preqin, will join BlackRock as a vice-chair following the completion of the transaction. The acquisition underscores BlackRock’s strategic focus on integrating advanced data solutions to support the evolving needs of the investment management industry.
