Atlanta-based financial data provider eVestment has announced that the Nasdaq stock market will purchase the company for $705 million.
EVestment, which counts investment portfolio managers globally as both customers and contributors, spread its wings globally with international offices over the last five years. The company now has a presence in London, Hong Kong, Dubai, Sydney, and Edinburgh, Scotland, but its core functions are housed in Atlanta, home to a headquarters employing about 250 people. No other office has more than 30 people.
EVestment has been a relatively unsung growth story in Atlanta’s financial technology community. The company has averaged 12 percent revenue growth per year since 2013.
The company’s data and analytics help institutional investors hire money managers or track financial flows around the world. For money managers, the site is free as long as they create a profile and contribute data. This helps them see how they stack up against their counterparts.
Nasdaq sees the increasing importance of analytics and data to investors and saw the purchase as a chance to bolster its global information services business.
“We believe the combined organization will allow us to grow our core business while tapping into Nasdaq’s technology expertise, leading data and software products, and global distribution,” said Jim Minnick, eVestment’s CEO and co-founder, in a statement.
No job losses in Atlanta are expected from the acquisition. In fact, the company believes the deal could lead to further global growth that benefits the home base. After the transaction closes during the fourth quarter of this year, eVestment will operate as an independent unit of Nasdaq’s data services division, according to eVestment spokesman Mark Scott.
Mr. Scott said the company’s growth strategy includes expanding into new geographies across growth markets like Europe and Asia, as well as developing new products and breaking into new asset classes.
He added that Atlanta continues to be a vibrant technology hub where it’s easy to recruit talent, both college graduates and relocations.
“It’s a city a lot of people want to move to,” Mr. Scott told Global Atlanta.
Metro Atlanta is also home to IntercontinentalExchange, a digital markets operator which owns the New York Stock Exchange.
Read more about the company:EVestment Opens Dubai Office As Wealth Grows in Middle East, Africa