MSCI, which provides critical decision support tools and services for the global investment community, announced this week that it acquired Real Capital Analytics for $950 million in cash. MSCI’s purchase of the commercial real estate data and analytics provider is another indicator of the ongoing consolidation within the CRE information sector, according to GlobeSt.com.
Real Capital Analytics was founded in 2000 and since then has served the CRE industry by aggregating timely and reliable transaction data as well as providing intelligence on market pricing, capital flows and investment trends in more than 170 countries. Some of the industry’s most active investors, lenders, brokers and advisors depend on RCA’s insight to formulate their strategies, source new opportunities, and execute their deals.
For MSCI, the acquisition will expand its suite of real estate solutions, providing the real estate industry with data, analytics and support tools to manage investments and understand performance and risk, including climate risk, within their portfolios. The company will also leverage RCA’s database of more than $20 trillion of commercial property transactions linked to over 200,000 investor and lender profiles, enhancing MSCI’s commercial real estate capabilities.
“We are delighted to announce the acquisition of Real Capital Analytics,” Henry Fernandez, Chairman and Chief Executive Officer, MSCI, said in a statement. “The commercial real estate sector is seeing substantial transformation driven by several factors, including shifting consumer behaviors in work, lifestyle and travel accelerated by the pandemic, realignment in global supply chains, and the impact of climate change.
“The combined strength of MSCI’s existing data, analytics and tools, and the addition of Real Capital Analytics’ wealth of commercial real estate data and analytics, creates an unparalleled level of solutions for the real estate market. Investors will be better supported to access the opportunities that exist within this sector at scale, informed by industry-leading insights and the premier global database capturing the global commercial real estate footprint.”
With MCIS enhanced CRE capabilities, the acquisition underscores the company’s commitment to accelerating and expanding the use of data, analytics and workflow applications for investors in global private assets. Additionally, MSCI will strengthen its strategic partnership with Burgiss, a market leading provider of data, analytics and technology solutions for investors of private capital.
“MSCI is a natural home for Real Capital Analytics since our primary goal has always been to bridge the information gap between commercial real estate and other asset classes across the financial markets,” Robert M White, Jr., Founder and President of Real Capital Analytics, said in a statement. “The combination of the two firms creates a powerful team that will lead innovation and analytics in the real estate asset class well into the future.”
The transaction is expected to be funded with existing cash on hand and close at the end of the third quarter, or early in the fourth quarter, of 2021, subject to regulatory approvals and customary closing conditions.
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