Clearwater International has advised Synova Capital on its investment in Defaqto, an information provider to the financial services industry, as part of an MBO.
Defaqto is a leading UK independent financial researcher, focused on providing intelligence to support better financial decision-making. At its heart is the UK’s largest retail financial product and fund database – which it maintains by collecting data from across the whole market, and using its expertise and insight to analyse this data and make it comparable. From this, Defaqto creates a range of products and services – ratings, software solutions, data services, publications and events – to deliver this information in a meaningful way. Defaqto’s intelligence facilitates enhanced financial decisions and greater effectiveness in the creation, management and distribution of financial products.
Synova has invested alongside the existing management team, acquiring a majority shareholding in the business. Synova’s investment will support the management team to grow the company, primarily through its organic activities with a strategy to double the size of the business over the next few years.
Clearwater International advised on providing acquisition debt and working capital facilities to the business. This is the fourth transaction that Clearwater International and Synova have worked together on. The team was led by partner Chris Smith with support from director Karen Edwards and associate director Andy Dyer.