Moody’s is acquiring a highly respected company that has a solid reputation for providing quality information not easily found elsewhere, which is a positive indicator of the move.
On May 15, 2017, Moody’s Corporation announced it will acquire Bureau van Dijk (BvD), which is based out of Amsterdam. BvD is a highly respected company in the business research world, providing global, regional, and national coverage for listed and private companies with detailed financials and corporate structure data. Its international private company coverage and detailed ownership data are its strengths. For procurement and supply chain management, Bureau van Dijk offers Procurement Catalyst, an excellent supplier risk platform that combines an organization’s supplier data with BvD’s company and risk data and allows for complete views of current and potential suppliers for diligence and risk monitoring. (See my review here.) Their other Catalyst offerings address these business challenges:
- Compliance and third party due diligence
- M&A research and valuations
- Tax and transfer pricing research
- Corporate and financial credit risk
Overall, BvD provides information on more than 220 million companies in all countries worldwide, with an emphasis on private company data. Impressively BvD partners with 160 independent information providers that include Fitch Solutions, LexisNexis, Dow Jones, S&P Global, Cortera, IHS Markit, and Coface, to name a few. BvD was established as a separate entity in 1991 (formerly part of Bureau Marcel van Dijk) and has over 800 employees in more than 30 offices worldwide.
According to the Financial Times:
Moody’s will expand Amsterdam-based Bureau van Dijk’s data platform in Asia and the US to drive revenues using its existing operations. For the credit rating agency, which provides analytical services predominantly to clients in the financial services industry, the acquisition will bolster efforts to diversify its business, as 70 per cent of Bureau van Dijk customers are non-financial entities (Fontanella-Khan).
Bureau van Dijk will be reported as a part of Moody’s Analytics’ Research, Data & Analytics (RD&A) unit.
Fontanella-Khan, James. “Moody’s Strikes €3bn Deal to Buy Dutch Information Provider Bureau van Dijk.” Financial Times. May 15, 2017