trending Market Intelligence /marketintelligence/en/news-insights/trending/qlne8tioafoeqx9q9m3xca2 content esgSubNav
In This List

Fitch affirms IHS Markit's ratings after Ipreo acquisition announcement

Podcast

Next in Tech | Episode 50: InfoSec spending up, again…

Blog

Broadcast deal market recap 2021

Podcast

Next in Tech | Episode 49: Carbon reduction in cloud

Blog

Price wars in India: Disney+ Hotstar vs. Amazon Prime Video vs. Netflix


Fitch affirms IHS Markit's ratings after Ipreo acquisition announcement

Fitch Ratings has affirmed the long-term issuer default ratings of IHS Markit Ltd. and IHS Markit Group Holdings Ltd. at BBB following the announcement of the pending acquisition of financial services solutions and data provider Ipreo Holdings LLC.

The ratings outlook is stable. IHS Markit also intends to divest its MarkitSERV derivatives processing business.

Fitch said the affirmation reflects the fact that IHS Markit will gain a dataset that enhances its existing offering and enables the creation of new products and targeting of additional customers while supporting a higher overall growth profile.

The rating agency views the planned divestiture of MarkitSERV in conjunction with the Ipreo acquisition as supporting 1 to 2 points' higher organic growth over the forecast horizon as a positive to IHS Markit's financial profile.

Fitch expects IHS Markit to use proceeds from the sale of the derivatives processing business to reduce debt outstanding, potentially bringing the company back to leverage consistent with its rating on an accelerated basis.