IHS Markit

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IHS Markit
Headquarters London
Key People Lance Uggla, Chairman and CEO
Products Business research
Twitter @IHSMarkit
LinkedIn Profile
Website https://ihsmarkit.com/index.html
Releases Company News

IHS Markit (formerly IHS) is a business research provider. It is headquartered in London with certain key operations based in Englewood, Colorado. The company has more than 50,000 business and government customers.

S&P Global agreed to buy IHS Markit in November 2020 for $39 billion in stock in what was then heralded as the year's second-biggest merger deal. The terms of the merger agreement called for each share of IHS Markit common stock to be exchanged for 0.2838 shares of S&P Global common stock. Following the close of the deal, S&P Global shareholders will own approximately 67.75 percent of the combined company on a fully diluted basis, while IHS Markit shareholders will own approximately 32.25 percent.[1]

History

On November 30, 2020, S&P Global and IHS Markit announced they entered into a definitive merger agreement to combine in an all-stock transaction. The deal valued IHS Markit at $44 billion, including $4.8 billion of net debt, or $39 billion. The companies also announced that Douglas Peterson, S&P Global president and CEO, would serve as CEO of the combined company, while Lance Uggla, chairman and CEO of IHS Markit, would stay as a special advisor to the company for one year after the deal's closing. [2]

In 2016, IHS merged with Markit Group in a transaction worth approximately $13 billion. Upon completion of that merger, the combined company was renamed IHS Markit. IHS shareholders owned approximately 57 percent and Markit shareholders owned approximately 43 percent of the combined company on a fully diluted basis. IHS shareholders received 3.5566 common shares of IHS Markit for each share of IHS common stock, which based upon the IHS closing price of $110.71 on March 18, 2016, implied a per share price of Markit common shares of $31.13.[3]

In August 2020, IHS Markit appointed Gay Huey Evans, OBE, as an independent director to its board. She also joined the company’s audit committee. Evans is chairman of the board of directors of the London Metal Exchange and a member of Her Majesty’s Treasury Board in the UK. She also is a non-executive director of Standard Chartered PLC and ConocoPhillips. [4]

Products and Services

IHS provides consulting, analysis, market insight and forecasts, software, technical data and training.

Its MarkitSERV product provides end-to-end trade processing for OTC trading across a broad range of asset classes and products.

On September 25, 2019 IHS announced it had launched the IHS Markit Global Carbon Index, the first benchmark for the global price of carbon credits.[5]

On January 11, 2021 IHS Markit announced it acquired the compliance technology provider Cappitech, a privately held Israeli company. Cappitch provides regulatory reporting and best execution analysis that allows its customers to comply with transaction reporting regulations across multiple jurisdictions. [6]

The following day, on January 12, 2021, CME Group and IHS Markit said they agreed to merge their post-trade services into a new joint venture. The new company is planned to include trade processing and risk mitigation operations and combine both CME Group’s optimization businesses -- Traiana, TriOptima and Reset -- and IHS Markit’s MarkitSERV. The joint venture aims to provide clients with enhanced platforms and services for global OTC markets across interest rate, FX, equity and credit asset classes. The companies said the transaction is expected to close in the summer of 2021, subject to customary antitrust and regulatory approvals. At the closing of the deal, IHS Markit is scheduled to make an equalization payment of $113 million to CME Group to achieve 50/50 ownership and shared control of the joint venture.[7]


Key People

References

  1. S&P to Buy IHS for $39 Billion in Year’s Second-Biggest Deal. Bloomberg.com.
  2. S&P Global and IHS Markit to Merge in All-Stock Transaction Valuing IHS Markit at $44 Billion, Powering the Markets of the Future. IHS Markit.com.
  3. IHS and Markit to Merge, Creating a Global Leader in Critical Information, Analytics and Solutions. IHS.
  4. IHS Markit Appoints Gay Huey Evans OBE to Its Board. IHS Markit.
  5. IHS Markit launches first global index for carbon credits. IHS Markit.
  6. IHS Markit Acquires Regulatory Compliance Technology Provider Cappitech. Businesswire.com.
  7. CME Group and IHS Markit to Form Leading Post-Trade Services Joint Venture for OTC Markets. Businesswire.com.