MSCI recently announced its acquisition of First Street, a leading provider of physics-based climate risk data and analytics, in a deal valued at $120 million upfront with potential additional payments tied to revenue targets over the following two years. The acquisition brings First Street's proprietary climate modeling into MSCI's climate and geospatial solutions, enabling physical risk assessments across more than two billion properties worldwide. The deal is expected to close in the third quarter of 2026.

Exbo Group has provided ongoing accounting, financial, and tax services to First Street since early 2025. Ahead of the transaction, Exbo's transaction services team provided strategic guidance through purchase price negotiations, including the treatment of working capital versus indebtedness, modeling deal scenarios, supporting PEG selection, and working through drafts of the purchase agreement to ensure the deal terms were accurately represented.

Richard Mattison, Head of Sustainability and Climate at MSCI, said, “The financial consequences of where assets are located have come into sharp focus due to the recent geopolitical turmoil, supply chain disruption and the growing impact of climate hazards. In response, investors, lenders and insurers are increasingly looking for more in-depth and actionable analysis of the physical risk held in the footprint of a company’s operations and investments. The integration of First Street data into MSCI’s existing geospatial capabilities will enable clients to be better informed about their changing risk exposures and translate that directly into financial decision-making.”

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