Nasdaq Inc. (NASDAQ: NDQA) announced on Tuesday that it would acquire eVestment Alliance LLC for $705 million. The acquisition is to help Nasdaq’s technology and to provide clients better services.
eVestment, provides a cloud-based service to help institutional investors with strategic decision making in investments. It provides investors the largest database for both traditional and alternative strategies.
With the acquisition, Nasdaq says that eVestment will further its Global Information Services business by allowing it to expand its reach. Nasdaq and eVestment together will create new solutions and expand distribution to support investors.
This is Friedman’s second acquisition since she took over CEO position back in January. In July, Nasdaq acquired Sybenetix, an artificial intelligence startup company that analyzes and detects any unusual trading behaviors that reports it back to the company.
Friedman said after the acquisition of Sybenetix that Nasdaq would be looking further to invest into technologies that can help benefit complex challenges that clients face.
"The investment management community is relying increasingly on independent data and advanced analytics to drive their key business decisions,” said Adena Friedman, President and CEO of Nasdaq ”eVestment is the definitive source from asset managers of critical fund-level and investment-level data and analytics to enable asset owners to make informed decisions.”
"Our leadership team is excited to join Nasdaq. We believe the combined organization will allow us to grow our core business while tapping into Nasdaq's technology expertise, leading data and software products, and global distribution," said Jim Minnick, Chief Executive Officer and Co-founder of eVestment.
The deal is expected to close in the fourth quarter. Nasdaq will be acquiring eVestment for $705 million through a mix of debt and cash on hand.