US financial services giant Moody’s has today announced the acquisition of California-based climate and disaster risk modelling specialist RMS, in a deal worth around $2bn.
RMS, which runs over 400 risk models covering 120 countries, provides climate and natural disaster risk modelling and analytics for the global property and casualty insurance and reinsurance sectors.
The acquisition, which is expected to be completed late in the third quarter of 2021, is being funded through a combination of cash-on-hand and new debt, said Moody’s.
RMS is being bought from the Daily Mail and General Trust plc, the UK-based media company which owns the Daily Mail newspaper.
Through the acquisition, Moody’s hopes to build out its risk assessment capabilities for clients across climate, cyber, commercial real estate and supply chain risks, it said.
RMS is expected to generate revenue of approximately $320m for the fiscal year ending September 2021, with …