Climate Risk Data Acquisitions

MSCI acquired First Street, a provider of physics-based physical climate risk data, in a deal valued at $120 million at closing, with potential additional payments tied to revenue milestones over the next two years. The acquisition integrates First Street's multi-hazard climate models into MSCI's geospatial platform, enabling quantified physical climate risk assessments for more than two billion structures worldwide.

First Street's research found that companies have become more than 6.5 times as likely to issue profit warnings following extreme weather events over the past two decades, highlighting growing demand from investors for climate risk insights to be embedded directly into financial analysis and decision-making.

The acquisition shows how climate risk data is evolving from a sustainability reporting tool into a core input for investment analysis, asset valuation and capital allocation.

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