LSEG has agreed to acquire the credit intelligence, data and workflow provider, Octus, for $3.535 billion in cash.
The deal will combine Octus’ capabilities with LSEG’s fixed income data, analytics and distribution, designed to give clients integrated solutions and intelligence across public and private credit.
Specifically, the acquisition is intended to help customers source deals, assess risk and manage their portfolios through its platform.
David Schwimmer, chief executive officer at LSEG, said: “Combining Octus’ leading proprietary data and intelligence with LSEG’s data and analytics business creates a powerful offering for our customers, and further accelerates our growth. Acquiring Octus enables LSEG to deliver best-in-class credit data, intelligence and workflows, across the liquidity spectrum, to a broader range of customers.
“LSEG’s existing data and analytics capabilities, alongside the acquisition of Trumid announced by Tradeweb and now the acquisition of Octus, position LSEG as a global leader in fixed income to partner with our customers throughout the trade lifecycle. I look forward to partnering with Kent and the team at Octus to continue to drive future growth.”
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Crucially for LSEG, Octus offers a strong buy-side customer base, particularly among hedge funds and alternative investment managers, a segment where the group has historically been under-penetrated.
Kent Collier, chief executive officer at Octus, said: “I’m excited by the prospect and opportunity of Octus becoming part of LSEG. Octus’ customer-first mindset and drive to deliver the absolute best products to our clients is a natural cultural fit with LSEG.
Joining LSEG will pair our data, intelligence and workflows with global distribution and fixed income depth: a combination that provides tremendous opportunity for further growth and expansion.”
Octus’ illiquid and private credit capabilities will sit alongside LSEG’s existing liquid credit products, including IFR, evaluated pricing, corporate actions, Yield Book and LPC.
LSEG will also develop enhanced products that combine Octus’ proprietary content with Workspace, LPC, Yield Book, PRS and Tradeweb.
These products are specifically intended to give clients a consistent view of a fragmented market, with a common data structure, valuation and portfolio management tools.
The acquisition is expected to complete in H1 2027, subject to regulatory approval, and will be financed through external debt.