On May 21st, 2021, Euromoney announced the acquisition of RelSci. Architect Partners was the exclusive financial advisor to RelSci in this transaction.
Relationship Science offers enterprise, nonprofit, and consumer customers deep insights into millions of organizations and their decision makers. Their solution includes aggregation of a client’s relationship data with RelSci’s internal database, automatic relationship mapping, AI-based news and business alerts, and insights on pathing to decision makers. Their people data offering is exceptionally broad with over 10 million people and 1.8 million organizations tracked on their platform that ranges from public companies, law firms, investment banks, and more. The company has over 600 large enterprise clients that consist of financial institutions, law firms, nonprofits, and corporations. RelSci’s relationship mapping is based on data science that scores how well a user should know a particular target, not on user-generated connections like LinkedIn.
RelSci competes with other people data providers including LinkedIn’s Sales Navigator, BoardEx (acquired by Euromoney), Introhive, Equilar, Intapp, WealthEngine (acquired by Euromoney), and Wealth-X (acquired by Euromoney).
Founded in 2011, by Neal Goldman, founder of Capital IQ, Relationship Science is based in New York City and is currently led by CEO Domenic Graziosi, who was previously the Director of Data Products at Capital IQ. The company received venture funding from a variety of well-known investors including Henry Kravis, William Ackman, Ken Langone, Salesforce, and many others.
Founded in 1969, London based Euromoney is a leading provider of data and market intelligence to businesses. With 2,000 employees globally, Euromoney has trailing twelve-month (TTM) revenues of $431 million between their three divisions: pricing, data & market intelligence, and asset management. Euromoney has an enterprise value of $1.6 billion resulting in an EV / TTM revenue multiple of 3.7X. Euromoney’s data & market intelligence segment accounts for $190 million (44%) of their total revenue.
Euromoney has acquired ten other companies in the last five years, with their four most recent acquisitions focused around the theme of people data aggregation. These four people data acquisitions include WealthEngine, Wealth-X, BoardEx, and The Deal, for a cumulative price of $122 million.
While financial data has been effectively captured by large companies such as Capital IQ and Dunn & Bradstreet, people data is typically unstructured and therefore has always been much more difficult to capture. RelSci set out in 2011 to tackle this challenge and invested heavily in technology to build the gold standard in people data collection and presentation. With Euromoney’s financial support and broader distribution, the combined companies will be able to extend their competitive advantage in the people data space.
A prime use case for people data is in CRM and sales automation tools, automating the manual process of figuring out “who does our organization know at customer X and who has the warmest path for an introduction”? RelSci had built integrations into Saelesforce.com and Microsoft Dynamics 365.
This transaction represents another example of Architect Partners’ legacy of strategic M&A for data and data analytics clients.
Over the past few years, Euromoney has become a leader in the people data market through their five acquisitions in the space (including RelSci). Their acquisition of RelSci will give them access to proprietary relationship mapping software, automated collection tools, and a broader set of people and organizational data. RelSci also nicely extends Euromoney’s data & market intelligence business unit.