Kensho Technologies to be acquired by S&P Global for massive $550 Mio.
S&P Global, the financial analytics company behind the S&P 500 index, has acquired the AI startup Kensho Technologies. Kensho was founded as a Harvard spin-off, specializing in AI technology for the financial industry. The company’s software platform is able to search for correlations between world events and their impact on asset prices based on simple natural language commands.
Daniel Nadler, founder and CEO of Kensho, has big plans with the firm: One year ago, when Kensho had just raised over $50 Mio. in Series B funding round, Nadler stated he wanted his company to become leader in machine learning for the financial industry for the next twenty-five years. The group of investors for Series B consisted of Wall Street’s six biggest banks, in addition to S&P Global. The financial analytics company now has acquired Kensho for $550 Mio. – $50 Mio. more than its $500 Mio. valuation after the latest investment round. The AI firm was one of quickest fintech startups to gain a half-billion-dollar valuation. Just recently, it became profitable.
Kensho’s platform Warren – an hommage to billionaire Warren Buffet –is capable of crawling through its Global Event database with more than 90,000 actions and correlate them to market-moving information through Machine Learning algorithms. On the frontend, the software is packaged with intuitive natural language search tools and visualization capabilities. And the company is praised for it – the platform is currently ranked in Forbes’ Fintech 50, AI 100, and in Fortune 5 Hottest Companies in Fintech.