MSCI acquisition of First Street

Davis Polk is advising MSCI Inc. on its acquisition of First Street. The transaction consideration includes $120 million in cash at closing, subject to customary closing adjustments, with the potential for additional cash payments during the first two years following closing if certain revenue thresholds are achieved. The transaction is expected to close in the third quarter of 2026, subject to regulatory approvals and customary closing conditions.

MSCI strengthens global markets by connecting participants across the financial ecosystem with a common language. Its research-based data, analytics and indexes set standards for global investors and help clients understand risks and opportunities so they can make better decisions and unlock innovation. MSCI serves asset managers and owners, private-market sponsors and investors, hedge funds, wealth managers, banks, insurers and corporates.

First Street is a provider of climate risk data and analytics. Its multi-hazard models assess current and future physical risk exposure, asset damage and business interruption, and are powered by proprietary data on building characteristics, infrastructure dependencies and site-level adaptation. Its platform delivers climate risk insights through visualization tools and customizable analytics for individual properties, companies and portfolios.

The Davis Polk corporate team includes partner William J. Chudd and associate Evan McQuiston. Partner Pritesh P. Shah and associate Francesca Masella are providing intellectual property advice. Partner Travis Triano and associate Michael (Yang) Wang are providing executive compensation advice. Partner Arthur J. Burke is providing antitrust and competition advice. Partner Michael Mollerus and associates Kelli A. Rivers and Michelle Kim are providing tax advice. Members of the Davis Polk team are based in the New York and London offices.