MSCI Inc. has acquired First Street, a provider of physics-based climate risk data and analytics covering properties globally.
The transaction includes a cash payment of $120 million at closing, subject to customary adjustments, with potential additional earnout payments tied to revenue targets during the first two years following closing. The deal will enhance MSCI’s (NYSE: MSCI) climate and geospatial intelligence offerings by integrating First Street’s property-level physical risk models into its investment and risk management workflows.
First Street develops climate risk analytics that assess current and future exposure to hazards such as flooding, wildfire, heat and other climate-related risks. The company’s models incorporate climate signals and observed-event validation to estimate asset damage, business interruption and financial impacts at the property level.