IHS Markit

IHS Markit
Name	IHS Markit
Type	Public (formerly)
Fate	Merged with S&P Global in 2022
Founded	1959 (IHS), 2016 (IHS Markit formation)
Founders	Ikechi H. Onwuka (IHS founders varied)
Headquarters	London / New York
Key people	Daniel L. Yergin (former), Lance Uggla (former CEO)
Products	Information services, analytics, indices, consulting
Revenue	See Financial Performance
Employees	~14,000 (peak)

IHS Markit

IHS Markit was a global information services and analytics company providing data, research, indices, and software to clients in energy, automotive, financial services, maritime, aerospace, and technology sectors. The company operated globally with major offices in London, New York City, Singapore, Tokyo, and Dubai, serving customers including BP, Shell plc, Toyota Motor Corporation, General Motors, JPMorgan Chase, and Goldman Sachs. It resulted from the 2016 combination of two legacy firms and was acquired by S&P Global in 2022.

History

The organization traces roots to firms founded in the 1950s and 1960s such as IHS (Information Handling Services), which grew through acquisitions including Global Insight and niche providers like Cambridge Energy Research Associates; an independent rival, Markit Ltd., formed in 2003 by executives from Credit Suisse and Lehman Brothers, disrupted markets with electronic data services and reference data. In 2016 the two groups combined after negotiation involving executives from Lazard and Morgan Stanley, creating a diversified data platform that inherited product lines from IHS and Markit and integrated teams experienced with clients like ExxonMobil, Ford Motor Company, Citigroup, UBS, and Deutsche Bank. Post-merger strategic moves echoed patterns seen in mergers such as Thomson Reuters with Refinitiv and in consolidations among firms like Bloomberg L.P. and Morningstar, Inc.; the combined firm expanded through further purchases and internal integration prior to the 2022 transaction with S&P Global.

Business Operations and Products

The company provided sector-specific intelligence: energy research used by Chevron, TotalEnergies, and Equinor; automotive forecasting serving Volkswagen, Hyundai Motor Company, and suppliers like Bosch; financial indices and reference data consumed by BlackRock, Vanguard, and State Street; and maritime analytics for Maersk and COSCO Shipping. Key offerings included subscription platforms, economic forecasting, pricing and supply-chain databases, trade flow models, risk and compliance systems compatible with standards from institutions like International Monetary Fund and World Bank, and fixed-income pricing used by Federal Reserve Bank of New York and central banks. Products drew on proprietary models, surveys, and electronic feeds similar to those developed at Moody's Analytics, IHS Enerdeq, S&P Dow Jones Indices, and specialist boutiques such as Rystad Energy and Cleaves Securities. The firm operated index services that competed with MSCI and FTSE Russell and provided valuation services used in mergers and acquisitions and project finance for clients including McKinsey & Company, Bain & Company, and Boston Consulting Group.

Corporate Structure and Leadership

Corporate governance featured a board with executives and directors from financial institutions like Blackstone Group, TPG Capital, and advisory firms including Kohlberg Kravis Roberts; senior management included former leaders from S&P Global Ratings and consulting alumni from Accenture and Deloitte. The chief executive officer prior to the S&P Global acquisition came from Markit leadership, supported by chiefs of operations and product from backgrounds at Thomson Reuters, Bloomberg L.P., and Refinitiv. Institutional shareholders included asset managers such as State Street Global Advisors, Fidelity Investments, and sovereign wealth funds like Abu Dhabi Investment Authority and Qatar Investment Authority. Legal and compliance functions engaged with regulators including the U.S. Securities and Exchange Commission, the UK Financial Conduct Authority, and the European Securities and Markets Authority.

Financial Performance and Acquisitions

Revenue grew through subscription renewals, consulting engagements, and strategic acquisitions such as specialist data firms and index businesses, mirroring earlier consolidation activity by IHS when it bought Jane's Information Group and by Markit when it acquired derivative reference services. Financial reporting followed standards accounting practices aligned with listings on exchanges like the New York Stock Exchange; investors compared margins and recurring revenue metrics to peers such as S&P Global, Moody's Corporation, IHS Markit (legacy) competitors and Morningstar. The 2022 sale to S&P Global for a transaction valued in the tens of billions was reviewed by antitrust authorities including the U.S. Department of Justice and the European Commission, and required divestitures and regulatory approvals akin to other major industry consolidations like Refinitiv’s sale processes.

Legal Issues and Controversies

As a provider of market-sensitive data and pricing, the firm faced scrutiny over data governance and conflicts of interest similar to issues confronted by Bloomberg L.P. and Moody's Corporation; regulatory dialogues involved the Commodity Futures Trading Commission and consumer protection bodies in multiple jurisdictions. Litigation and compliance inquiries occasionally addressed topics such as benchmark governance, licensing disputes with clients and vendors, and employment-related matters litigated in courts including the United States District Court for the Southern District of New York and tribunals in London. High-profile industry debates about index construction and data transparency, involving peers like S&P Dow Jones Indices and FTSE Russell, framed some controversies, and settlement processes resembled those seen in cases involving Thomson Reuters and Refinitiv.

Market Position and Competitors

Before integration into S&P Global, the company ranked among leading global providers of sector intelligence, competing with Bloomberg L.P., Refinitiv, S&P Global Market Intelligence, Moody's Analytics, Fitch Solutions, Morningstar, Inc., IHS competitors such as Rystad Energy, and specialized vendors like ICE Data Services and Platts. Clients chose services on the basis of dataset breadth, model fidelity, and integration with trading and risk platforms from vendors like Charles River Development and ION Group. The market featured consolidation trends comparable to mergers such as Thomson Reuters with Refinitiv and strategic moves by MSCI into adjacent analytics, and competition remained intense across regions including North America, Europe, Asia-Pacific, and Middle East.

Category:Business services companies