Merged $13bn data firm registers in Bermuda
Bermuda law firm Conyers Dill & Pearman has brokered a $13 billion merger between two specialists in information and analytics.
The deal to merge IHS Inc and Markit to form IHS Markit, represented by CDP and registered on the island, has created a global company with $3.3 billion in revenue.
Niel Jones, a director in CDP’s corporate department, said: “Certainly, this year it’s the largest capital markets transaction for Bermuda.”
He added: “What is significant about this transaction is that this is the second transaction in less than a year where there was an existing connection with Delaware, yet the combined groups have decided to have a Bermuda holding company.
“We are expecting another similar transaction to close next year.”
“It enhances market confidence in Bermuda public companies.
“It’s been a very good project for Conyers and we are delighted to have received instructions from Markit to act for them in this significant transaction.”
The new firm, to be known as IHS Markit, was designed to create a global leader in critical information, analytics and solutions.
The new combined company has more than 50,000 key business and government customers, including 80 per cent of the Fortune Global 500, as well as the world’s top financial institutions.
Mr Jones said: “We have acted for Markit since they came to Bermuda in 2014 when they put a Bermuda company as the top holding company and listed on Nasdaq.”
He added that the two companies’ faith in Bermuda underlined its solid reputation in world markets.
Mr Jones said that the decision by the XL Group to redomicile from Ireland to Bermuda and the island’s award of Solvency II equivalence by the European Union were other clear markers that Bermuda had a rock-solid reputation as a place to do business.
He added: “These are all signals that the market has confidence in groups using a Bermuda company to be the top-level listed holding company.”
Jerre Stead, chairman and chief executive officer of IHS Markit, said: “This merger is such an important milestone for our company, colleagues, customers, shareholders and the entire business information industry.
“With our unique positions in energy, financial services and transportation, the sky is the limit in terms of the analytics and next-generation solutions we will provide to customers worldwide and across industries, as the new global information leader.”
Lance Uggla, president of IHS Markit, which will retain its London base, said: “IHS Markit will leverage best-in-class technologies to enhance the way our customers access information, analytics and solutions.
“Our expertise in the industries and markets that drive the global economy will allow us to provide our customers with the tools they need to make better decisions and gain a clear competitive advantage.”