FinTech Substantive Research has been acquired by pan-European stock exchange and market infrastructure provider Euronext.
Netherlands-headquartered Euronext snapped up the research and market data benchmarking firm, which has bases in London and Edinburgh – the latter a technology hub – from private equity company Foresight.
Foresight achieved a 2.4x return on its original investment, made in 2020, and marks the first exit from the Foresight Scottish Growth Fund, which is backed by the Scottish government.
Substantive Research, founded in 2015 by chief executive Mike Carrodus, provides in-depth product and pricing comparison for investment research spend, market data and investment research content to a growing base of over 100 global clients across Europe and North America.
These include asset managers, hedge funds, wealth managers, sell-side institutions and private markets.
“Foresight have been an excellent partner for us as we have grown rapidly, bringing a flexible approach, great industry knowledge and connections as well as funding,” said Carrodus.
“Euronext’s acquisition of Substantive Research underlines our team’s hard work in creating a unique price benchmarking database in investment research and market data. With the research market poised for yet more regulatory-driven changes, plus market data consumers grappling with increasing costs and pricing opacity, we are excited to be able to accelerate our coverage and data depth.
“We can accelerate development into areas where we know our clients need greater market transparency.”
Nick Mettyear, investment director at Foresight Group, said: “Substantive Research is a strong entrepreneurial success story and it’s been a pleasure working with Mike and the team to build a tech-enhanced business to benchmark price and supply in the investment research and data markets.
“Substantive is now very well-placed to continue its progress as part of the Euronext group and we wish the team well for the future.”
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