US finance company MSCI (NYSE: MSCI) has signed an agreement to acquire UK-based Trove Research, a distinguished data, analysis, and advisory firm specializing in carbon markets, in a move aimed at expanding its portfolio of climate solutions.
Since its establishment in 2015, Trove Research has gained international recognition for its expertise in carbon markets, driven by profound sector knowledge paired with proprietary data and advanced models.
Over the past three years, the company’s main focus has been on monitoring corporate climate commitments and delivering high-quality data and insights on the voluntary carbon market via a unified platform.
The voluntary carbon market plays an increasingly important role in financing the transition to a low-carbon economy and assisting companies in achieving their net-zero objectives.
Through the acquisition, MSCI will address the growing need for transparent, credible insights in voluntary carbon markets, serving corporate entities, institutional investors, and other capital market participants, the company said in a statement Tuesday.
MSCI will also provide products to the broader carbon market ecosystem, benefiting banks, exchanges, and developers, and offer insights into transition plans, carbon credit quality, and pricing forecasts.
The collaboration with Trove Research will redefine standards and methodologies in voluntary carbon markets, emphasizing MSCI’s commitment to transparency and the delivery of comprehensive climate data and insights to the global investment community, according to the statement.
Henry Fernandez, Chairman and CEO of MSCI, stressed the role of the voluntary carbon market in achieving net-zero emissions, highlighting Trove Research’s unique data and insights in making the market more effective.
Guy Turner, CEO of Trove Research, expressed optimism about combining the company’s carbon market data and analytics with MSCI’s extensive sustainability and financial data.
While the financial terms of the transaction were not disclosed, MSCI does not anticipate a material impact on its finances.
The deal is scheduled to close in the current quarter, subject to customary closing conditions.
Trove Research’s financial results will be included in MSCI’s Environmental, social, and corporate governance (ESG) & Climate reportable segment.