Investment manager BlackRock has agreed to acquire private markets data provider Preqin in a £2.55 billion deal.
This acquisition integrates Preqin’s data and research tools with BlackRock’s Aladdin platform, creating a private markets technology and data provider. According to Preqin: “Bringing together Preqin’s data and research tools with Aladdin’s complementary workflow capabilities in a unified platform will create a preeminent private markets technology and data provider.”
Aladdin is BlackRock’s portfolio management software, offering investment professionals tools to view and manage daily investments. The acquisition would enhance the Aladdin technology platform by integrating data, research and investment processes for fund managers.
According to Preqin, the private markets data sector is expected to grow to an $18 billion market by 2030, and Preqin is expected to generate approximately $240 million in recurring revenue in 2024. The integration with Aladdin will enhance data, research and investment processes for fund managers and investors.
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Rob Goldstein, BlackRock’s chief operating officer, said: “BlackRock’s vision has always been to bring together investments, technology, and data to offer solutions that meet our clients’ needs across their whole portfolio. We see data powering the industry across technology, capital formation, investing, and risk management.”
Sudhir Nair, global head of Aladdin, added: “Together with Preqin, we can make private markets investing easier and more accessible while building a better-connected platform for investors and fund managers.”
“BlackRock is known for excellence in both investment management and financial technology and together we can accelerate our efforts to deliver better private markets data and analytics to all of our clients at scale,” said Mark O’Hare, founder of Preqin, who will join BlackRock as a vice chair after the transaction closes.
