Clearwater Analytics (NYSE: CWAN), a Boise, ID-based provider of a SaaS solution automating the entire investment lifecycle, announced two strategic acquisitions.
The acquisitions were:
- Beacon, a provider of cross-asset class modeling and risk analytics for derivatives, private credit and debt, structured products and other alternative assets. The company enables front-office, risk, and investment teams to manage risk, focus on developing strategies, and capture market opportunities using our cross-asset trading and risk management models and applications. Its unified, cloud-native platform and shared code repository give quantitative developers the flexibility to integrate with existing in-house and third-party systems and data providers to rapidly build, test, and deploy custom risk models and analytics.
- Bistro, Blackstone’s proprietary portfolio visualization software platform built for Blackstone’s Credit & Insurance business. The company supports the growth of its insurance clients and provide a comprehensive view of private credit portfolios, including asset analytics, client reporting, and risk management insights.
Clearwater will acquire Beacon for an aggregate purchase price of approximately $560m, 60% of which will be paid in cash, with the remainder to be paid in shares of Clearwater Class A common stock valued at approximately $30.05 per share. With ARR of approximately $44m at the end of 2024, this platform has scale and market acceptance as a leading risk and modeling platform.
The purchase price for the Bistro software is $125m, of which $10m will be paid in cash and the remainder will be paid in shares of Class A common stock, valued at $30.00 per share.
The company will use the proceeds from its previously committed $800m Term Loan B, cash on hand, and a portion of its $200m revolving line of credit to fund the two acquisitions and the previously announced acquisition of Enfusion.
Led by Sandeep Sahai, CEO, Clearwater Analytics offers an investment portfolio planning, performance reporting, data aggregation, reconciliation, accounting, compliance, risk, and order management. Each day, insurers, asset managers, corporations, and governments use its data to drive efficient, scalable investing on more than $8.8 trillion in assets spanning traditional and alternative asset types.
FinSMEs
17/03/2025