The London Stock Exchange Group Agrees $3.54 Billion Deal for Octus, Its Biggest Acquisition Since Refinitiv

The London Stock Exchange Group (LSEG) has agreed to acquire credit intelligence firm Octus for $3.54 billion in cash, marking its largest acquisition since the $27 billion Refinitiv deal.

The London Stock Exchange Group has agreed to buy Octus, a provider of credit intelligence, data and workflow tools, from Permira and Octus management for $3.54 billion in cash. It is LSEG’s largest acquisition since its roughly $27 billion Refinitiv deal.

LSEG confirmed on Oct. 13 that it was in talks over a purchase of about $3.5 billion, after press reports. Its shares fell almost 5% that day on concerns about the price and execution risk. They rose more than 6% on Thursday after the deal and the results were announced.

Octus, formerly known as Reorg, was founded in New York in 2013. It supplies information on credit markets to hedge funds and other investors, investment banks, law firms and advisory firms. It is best known for coverage of illiquid and private credit and of companies in financial distress. LSEG said the business has a record of double-digit revenue growth and a high-retention subscription model.

The price works out to about 11.8 times Octus’s expected 2026 revenue of roughly $300 million. LSEG said the purchase will immediately lift revenue growth in its Data & Analytics division and across the group.

LSEG said Octus’s coverage fits well with its fixed income data and private markets products. It estimates the market for private markets data, workflow and access tools at $7 billion to $9 billion, with double-digit growth expected. Octus competes with data providers including Bloomberg.

The purchase follows LSEG’s shift in recent years from a traditional exchange operator toward a data and analytics business, a shift that began with Refinitiv.

Permira bought a controlling stake in Octus in 2022 at a valuation of about $1.3 billion, buying from Warburg Pincus. The firm said Octus’s annual recurring revenue more than tripled during its roughly four-year ownership. It was Permira’s sixth exit of 2026. Octus founder and CEO Kent Collier is among the sellers.

LSEG announced the deal alongside its third-quarter trading update. Total income, excluding recoveries, rose 8.8% on an organic basis to £2.41 billion ($3.22 billion), and subscription revenue grew 6.6% to £1.45 billion.

Based on that performance, the company raised its 2026 guidance. It now expects organic revenue growth of at least 8%, up from 7% to 7.5%. It expects its EBITDA margin to expand by 100 to 120 basis points, and equity free cash flow of at least £2.8 billion, up from £2.7 billion.

The deal is expected to be subject to regulatory approval, and LSEG has not yet said when it expects to complete it.

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