Global credit rating agency Moody’s Corp on Wednesday said it has acquired Amba Investment Services Ltd, which provides investment research and quantitative analytics for global financial institutions.
Amba was backed by Helion Venture Fund I, a fund managed by Helion Venture Partners, which invested $10 million or Rs 41 crore in the Bangalore-based company in 2007. Although it could not be confirmed, the deal would mean an exit for the investor.
The deal has been routed through Copal Partners, a Gurgaon-based KPO which was acquired by Moody's in 2011. Financial details of the transaction, however, have not been disclosed.
After the acquisition, Amba, founded in 2003, will operate as part of Moody’s Analytics’ majority-owned subsidiary Copal Partners, and is expected to generate nearly $39 million of revenue in 2013. The deal, which was funded from cash on hand, is unlikely to have a material impact on Moody’s earnings per share, a statement said.
Amba offers outsourced investment research and analytics to financial institutions, including asset managers, investment banks, broker-dealers as well as insurance and alternative investment firms.
“Amba is highly regarded for its offerings to investment research firms and asset managers, and Copal is known for its strong services
for corporate finance. Together, their scale, talent and resources offer global financial institutions a broader array of research and analytics,” said Mark Almeida, president of Moody’s Analytics.
The company has service delivery centres in Costa Rica, India and Sri Lanka, as well as sales offices in major financial centers.
The deal will help Moody’s strengthen its research and analytical capabilities through Copal, in which it acquired a controlling stake in 2011. With the acquisition, Copal Partners will be able to emerge as a leading outsourcer to corporate finance, investment research and asset management customers.
Mayer Brown was the legal advisor to Moody’s, while Amba was advised by law firm Jones Day and investment bank Avendus Capital.
(Edited by Joby Puthuparampil Johnson)