Bregal Sagemount's investment in Lux Research underscores demand for analytics
Middle-market private equity firm Bregal Sagemount has purchased Lux Research, a data analytics and insights service provider, for an undisclosed amount. With constant changes in tech, dealmakers have been particularly focused on acquiring predictive research companies.
Lux Research, headquartered in Boston, is an independent research and advisory firm that focuses on predictive data, analysis, insights, and trends in technology. From food and nutrition to agricultural development and biochemical, the target offers research services for multiple sectors. Lux Research‘s tools are used by professionals across the product development, research and development, development scouting and strategy end-markets. Lux Research has additional offices in New York, Amsterdam, Singapore and Tokyo.
"Our partnership with Sagemount will enable us to make further strategic investments so we can serve our clients with the most actionable and relevant content, data, and technology," states Lux Research CEO Mike Coyne.
Bregal Sagemount is a New York-based private equity firm that invests up to $150 million in transactions. In February, Bregal Sagemount bought a majority stake in Internet access provider Single Digits. The firm focuses on the logistics, software, healthcare technology and financial technology sectors. In 2016, Bregal Sagemount acquired Discovery Data Inc. from software company Ipreo LLC and also backed logistics service provider Internet Truckstop Group. Goodwin Procter LLP served as legal adviser to Bregal Sagemount, while Foley Hoag LLP represented Lux Research.
Predictive analytics tools are tailor-made for M&A opportunities, as dealmakers increasingly rely on research and data for M&A decisions. Acquisitions within the market include: the Carlyle Group's (Nasdaq: CG) acquisition of consumer data provider Claritas from Nielsen (NYSE: NLSN); Blackstone Group LP (NYSE: BX) and New Mountain Capital’s $570 million investment in retail data provider JDA Software Group Inc.; HGGC’s add-on acquisitions to portfolio company Survey Sampling, a brand tracker; Summit Partner’s investment in retail data firm Mi9 Retail; TA Associates’ agreement with Carlyle to acquire real-time monitoring software provider ITRS; Hewlett Packard Enterprise Co.’s (NYSE: HPE) deal to buy software company SimpliVity for $650 million in cash; Thoma Bravo’s deal to acquire software maker Planview; Syncsort Inc.’s agreement to purchase data integration software developer Trillium Software; and Dun & Bradstreet Corp.’s (NYSE: DNB) acquisition of sales data provider Avention.