Transaction could value specialist distressed debt and bankruptcy information provider at about $1.5bn
Reorg , the distressed debt and bankruptcy information provider backed by private equity firm Warburg Pincus, has hired advisers to explore a sale of all or part of the business that could value it at more than $1.5bn, according to four people briefed about the matter.
Private equity groups have expressed interest in Reorg in recent months, those people said, as buyout investors have snapped up lucrative specialist content companies that can charge corporate clients high, recurring subscription fees. Rival data companies have also expressed interest to participate in the auction as they seek to consolidate the industry.
Warburg Pincus acquired a controlling stake in Reorg in 2018 at a $400mn valuation. Reorg has sought to combine the features of a technology company, using machine learning to quickly scrape legal filings along with deal analysis, with original reporting from journalists as well as former lawyers and bankers. Its annual subscriptions can cost in excess of $100,000, since the service can replace the work of junior attorneys.
Read more: FT
