Clearwater Analytics to Acquire Beacon, Blackstone’s Bistro for $685M
Clearwater Analytics has unveiled two strategic acquisitions to revolutionize investment management technology. The first involves acquiring Beacon, a provider of risk analytics for derivatives and alternative assets, for about $560 million. The deal will be funded with 60% cash and 40% stock, valued at roughly $30.05 per share.
Clearwater has also agreed to purchase Bistro, Blackstone’s portfolio visualization platform, for $125 million. The deal includes $10 million in cash, with the balance paid in stock valued at $30.00 per share. Originally built for Blackstone’s Credit & Insurance unit, Bistro delivers advanced analytics for private credit portfolios.
The company will finance the acquisitions, and previously announced Enfusion deal, using proceeds from its $800 million Term Loan B, available cash, and part of its $200 million revolving credit line.
The acquisitions aim to forge a seamless front-to-back platform, offering real-time portfolio visibility across public and private securities. Beacon, projecting $44 million in annual recurring revenue by the end of 2024, serves top-tier clients like PIMCO—which has held a minority stake and strategic partnership since 2018—and Blackstone.
“With this combination, Chief Investment and Chief Risk Officers will have a unified, real-time view of their entire portfolio – from public equities and private credit to structured products and alternatives – all in a single, cloud-native platform,” said Clearwater Analytics CEO Sandeep Sahai.
Kirkland & Ellis LLP is serving as legal advisor to Clearwater in both transactions. Orrick, Herrington & Sutcliffe LLP is serving as legal advisor to Beacon. Simpson Thacher & Bartlett LLP is serving as legal advisor to Blackstone. Broadhaven Capital Partners served as financial advisor to Beacon.
