NEW YORK - S&P Global (NYSE: SPGI) has completed the acquisition of ProntoNLP, a company specializing in Generative Artificial Intelligence (GenAI) and natural language processing (NLP) technologies, aimed at enhancing S&P Global's data analytics capabilities. ProntoNLP, founded in 2021, is known for its advanced NLP and large language model (LLM) tools that facilitate in-depth analysis of financial information.
The integration of ProntoNLP's proprietary models into S&P Global's Market Intelligence division is expected to offer customizable solutions for event detection and sentiment scoring, thereby improving the depth and efficiency of data analysis for S&P Global's clients. Frank Tarsillo, Chief Technology Officer of S&P Global Market Intelligence, emphasized the acquisition's role in advancing AI-driven solutions that leverage both structured and unstructured data to provide actionable insights.
While the financial terms of the deal, which closed on December 31, 2024, were not disclosed, the transaction is part of S&P Global's strategic efforts to incorporate cutting-edge technology into its analytical platforms. This move is anticipated to facilitate richer contextual understanding, more accurate forecasts, and expedited decision-making processes.
S&P Global, a provider of essential intelligence for governments, businesses, and individuals, is known for its offerings in credit ratings, benchmarks, analytics, and workflow solutions across various markets. The acquisition of ProntoNLP is expected to contribute to the company's suite of products, although it comes with the usual risks associated with mergers and acquisitions, as outlined in the company's forward-looking statements.
The impact of this acquisition on S&P Global's operations, the successful integration of the acquired technology, and the retention of key employees are among the factors that could influence the anticipated benefits of the deal. The information for this report is based on a press release statement.
In other recent news, S&P Global has reported strong financial performance for the third quarter of 2024, with a 16% year-over-year increase in total revenue, reaching $3.6 billion, primarily driven by an over 80% surge in transaction revenue from the ratings division. Adjusted diluted earnings per share (EPS) also grew by 21%, attributed to margin expansion and share repurchases. BMO Capital Markets, Stifel, Baird, and BofA Securities have all maintained positive ratings on S&P Global, adjusting their stock price targets to $564, $560, $575, and $610 respectively, reflecting confidence in the company's performance and potential for future earnings growth. In the wake of these developments, S&P Global announced leadership changes, with Eric Aboaf slated to join as CFO in February 2025 and Saugata Saha set to become President of the Market Intelligence Division. Lastly, the company has revised its revenue growth forecast for 2024 to between 11.5% and 12.5%, with adjusted diluted EPS estimates ranging from $15.10 to $15.30.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.