FactSet Completes Acquisition of Interactive Data Managed Solutions, Wealth Management Solutions Provider
April 03 2017 - 6:00AM
FactSet (NYSE:FDS) (NASDAQ:FDS), a global provider of
integrated financial information, analytical applications, and
industry-leading service, today announced that it has completed its
acquisition of the Interactive Data Managed Solutions business
(IDMS) from Intercontinental Exchange (NYSE:ICE). With a client
base of more than 700 financial institutions across Europe and the
United States, IDMS is a leading managed solutions and portal
provider helping clients adapt to the wealth industry’s digital
transformation.
First announced on January 27, 2017, the transaction expands
FactSet’s solutions for the wealth management industry across key
workflows and functions, at a time of great digital transformation.
The IDMS business offers customizable web-based portals and APIs,
critical areas of investment for wealth management organizations as
well as the entirety of the financial services industry as they
focus on an enhanced digital strategy. In addition, IDMS offers
real-time market data desktops and a broad range of mobile
solutions to advisors and their clients. FactSet Digital Solutions,
which will be the new name for IDMS, in combination with FactSet’s
existing capabilities and extensive financial data coverage, will
establish FactSet as a leading end-to-end provider of content and
digital solutions for the financial services industry.
The last twelve months revenues, as of February 28, 2017, for
the IDMS business were $68 million. IDMS is expected to be
accretive by $0.03 to adjusted diluted EPS for FactSet’s fiscal
2017.
Updated Business Outlook for the Third Quarter of Fiscal
2017
The following forward-looking statements reflect FactSet’s
expectations as of today’s date and include the acquisition of
IDMS. Given the risk factors, uncertainties and assumptions
discussed below, actual results may differ materially. FactSet does
not intend to update its forward-looking statements until its next
quarterly results announcement, other than in publicly available
statements.
- Revenues are now expected to be in the range of $311 million
and $317 million. IDMS is expected to add approximately $10
million in third quarter revenues.
- GAAP operating margin is now expected to be in the range of 29%
and 30%. Adjusted operating margin is now expected to be in the
range of 31% and 32%. Both GAAP and adjusted operating margins
include a 90 basis point reduction from IDMS.
- The annual effective tax rate is now expected to be in the
range of 25% and 26%.
- GAAP diluted EPS is now expected to be in the range of $1.68
and $1.74. Adjusted diluted EPS is now expected to be in the range
of $1.81 and $1.87. The midpoint of the adjusted diluted EPS range
represents 12% growth over the prior year.
Citigroup Global Markets Inc. acted as financial advisor
and Shearman & Sterling LLP acted as legal advisor to ICE
on this transaction. Jones Day acted as legal advisor to FactSet on
this transaction.
For more detail about the advantages of FactSet’s solutions for
wealth management, visit
http://www.factset.com/products/wealth.
About FactSet
FactSet (NYSE:FDS) (NASDAQ:FDS) delivers superior
analytics, service, content, and technology to help more than
85,000 users see and seize opportunity sooner. We are committed to
giving investment professionals the edge to outperform, with fresh
perspectives, informed insights, and the industry-leading support
of our dedicated specialists. We're proud to have been recognized
with multiple awards for our analytical and data-driven solutions
and repeatedly ranked as one of Fortune's 100 Best Companies to
Work For and a Best Workplace in the United Kingdom and France.
Subscribe to our thought leadership blog to get fresh insight
delivered daily at insight.factset.com. Learn more
at www.factset.com and follow on
Twitter: www.twitter.com/factset.
FactSet
Media Relations Contact:
Amy Bowman
203.810.2144
Abowman@factset.com
Investor Relations Contact:
Rima Hyder
857.265.7523
Rima.hyder@factset.com
FactSet Research Systems (NYSE:FDS)
Historical Stock Chart
From Apr 2024 to May 2024
FactSet Research Systems (NYSE:FDS)
Historical Stock Chart
From May 2023 to May 2024