LSEG agreed on 22 October to acquire credit intelligence and workflow provider Octus for $3.535 billion in cash. The sellers are funds advised by Permira and Octus management, including founder Kent Collier. Completion is expected in the first half of 2027, subject to regulatory approvals; the announcement is an agreement to buy, not a completed acquisition.[1][2]
Transaction and operating scale
| Measure | Announced position |
|---|---|
| Consideration | US$3.535 billion cashSource 1Source 2 |
| Financing | External debtSource 1Source 2 |
| Expected completion | First half of 2027, subject to approvalsSource 1Source 2 |
| Octus footprint | More than 900 employees; 750 customers; over 40,000 individual usersSource 1Source 2 |
| Management after completion | Kent Collier continues running Octus within Data & AnalyticsSource 1Source 2 |
Octus specialises in illiquid, distressed and private credit, turning hard-to-access documentation, including covenants and deal terms, into searchable data and workflows. LSEG’s existing fixed-income products include evaluated pricing, corporate actions, Yield Book and LPC. Combining those resources would broaden the group’s coverage across liquid and private markets; the product integrations remain plans.[1]
Forecasts use different denominators
| Measure | Company forecast |
|---|---|
| Octus 2026 revenue | More than $300 million; strong double-digit growthSource 2 |
| Octus adjusted EBITDA margin | Around 40%Source 2 |
| LSEG adjusted earnings per share | Neutral in first full year after completion; accretive thereafterSource 2 |
| Group organic subscription growth | Acquisition additive to existing guidance of around 7% for 2027Source 2 |
| Underlying EBITDA margin guidance | Unchanged: cumulative improvement of about 150 basis points over 2027–2029 from 2026 baselineSource 2 |
| Leverage | Upper end of 1.5–2.5 times target range by end-2027; midpoint by end-2028Source 2 |
The leverage projection incorporates the planned Octus purchase and Tradeweb’s proposed Trumid acquisition, forecast cash generation and LSEG’s stated buyback programme. It should not be read as the isolated borrowing effect of Octus. Similarly, “additive” to the roughly 7% subscription-growth guidance does not mean Octus contributes seven percentage points on its own.[2]
Collier is expected to report to Data & Analytics co-heads Gianluca Biagini and Ron Lefferts after closing. Until then, the key transaction milestones remain regulatory clearance and completion rather than the integration benefits projected by management.[1]
Sources & further reading
- LSEG to acquire Octus, creating market leader across public and private credit solutions London Stock Exchange Group · 22 Oct 2026 · Accessed 26 Oct 2026
- LSEG to acquire Octus — full regulatory announcement London Stock Exchange Group plc / RNS · 22 Oct 2026 · Accessed 26 Oct 2026