Clearlake Capital and specialist technology investor Motive Partners have come together to acquire data and processing company BETA+ from the London Stock Exchange Group today for $1.1 billion.
BETA+, which provides back-office processing solutions to the wealth management industry, posted $300 million in revenue last year and felt the rise of companies rushing to digitize technologies inherited from the sector.
Clearlake and Motive said they had sought to move the company forward as the industry was increasingly “backed by tailwinds” including technology upgrades, industry consolidation and an increase in retail space.
BETA+ would also allow them to tap into a large financial customer base, Clearlake bosses said.
“BETA+ has established a strong position in the self-clearing technology space and the broader wealth management ecosystem with a reputation for serving the unique needs of global financial institutions and their clients,” said Behdad. Eghbali, co-founder and managing partner of Clearlake.
“We look forward to partnering with Motive Partners, the BETA+ team and LSEG as the company continues to deliver best-in-class solutions to its blue chip customer base.”
The London Stock Exchange Group (LSEG) has also signed a long-term strategic partnership with the two new owners of BETA+, in which the group will provide content, data and tools to BETA+ and other companies with investment portfolios. of Clearlake and Motive.
Andrea Remyn Stone, head of data and analytics at LSEG, said the partnership will be a springboard for the company’s growth.
“Partnering with BETA+ under its new owners provides a platform for further content and data revenue growth while ensuring customer continuity under a new owner focused on this segment of the market,” she said. declared.
The deal follows a push by LSEG into the private markets space last week as it snapped up fintech firm Floww as it appears to be trying to raise capital for private companies.
LSEG said it was working with Floww to “help it launch its private primary capital raising facility, while exploring liquidity and secondary market options, including through the use of new technologies.”
The exchange said its ambition was to become the first exchange “truly indifferent” about whether companies are public or private.