Financial data group Preqin is reportedly exploring a sale that could value the firm in excess of £1bn in the latest sign of consolidation in the sector.
The Financial Times reported that the London-based provider of data on private markets had enlisted Wall Street giant Goldman Sachs to advise on a deal, citing unnamed people familiar with the matter.
Preqin is said to have been predominantly interested in inking a deal with a larger rival or strategic buyer rather than a private equity group.
Interested parties have reportedly included US giants Blackrock and S&P Global. The latter has been a particularly active acquirer of companies that provide niche but closely-watched financial data, snapping up IHS Markit for $44bn (£34.4bn) in 2020.
Preqin, Goldman, S&P Global and Blackrock all declined to comment on the potential sale.
Preqin was founded in 2002 by entrepreneur Mark O’Hare. It provides data on the private capital industry, such as tracking private equity and hedge fund performance, for clients including banks, asset managers and investment firms.
The sector has traded at a premium in recent years as the size of the private markets industry has swelled to more than $14tn (£11tn) in assets, according to the FT.
Preqin’s website claims the firm boasts the “biggest and most robust data set on private capital performance on the planet”, with 48,000 customers, a 500-strong research team and offices in 15 cities, including London, New York, Beijing and Dubai.
Preqin’s latest accounts show a revenue of £134m in 2022, up from £92mn the previous year. Its chair is Bradley Fried, who also chairs Preqin’s bank Goldman Sachs International.