Five years after selling,
Strategic Insight may find itself with a new parent soon, again.
The Deal, citing unnamed sources, reports that private equity firm
Austin Ventures is selling
Asset International, parent of mutual fund industry data giant Strategic Insight, with the help of
J.P. Morgan.
peHUB also reports on the news, though it names a different banker:
Evercore Partners.
Jim Casella, chairman and CEO of Asset International, and
Charlie Ruffel, founder and director of Asset International, both declined to comment to
MFWire for this article.
The most logical buyer for Asset International, perhaps, could be
Joe Mansueto, either through
Morningstar itself or through Mansueto's publishing acquirer
Mansueto Ventures. Strategic Insight could bolster Morningstar's efforts to get into the institutional data and research business, and writing about retirement plans could mesh with Morningstar's articles for advisors and investors. Morningstar has made moves to sell flow data, like Strategic Insight.
Austin Ventures, through Asset International, first
bought Strategic Insight almost five years ago. The Strategic Insight deal after Austin Ventures snapped up Asset International itself (publisher of retirement plan trade publications
PlanSponsor and
PlanAdviser, as well as
Global Custodian) and brought in Casella,
armed with a $100-million to $120-million war chest, to lead Asset International.
Also in 2009 Casella bought London-based
The Trade. Then in 2011 Asset International
bought pieces of Asset International rival
FRC, as well as Australia-based
Plan For Life. In 2012 Asset International made a
529-related purchase. And last year Asset International bought
Investor Economics.
One source tells
The Deal that the price tag for AI could reach $150 million or more, on revenues of about $50 million and EBITDA of about $11 million. That puts the price at about three times revenue and 13.63 times EBITDA.
peHUB offers slightly different numbers. The
Reuters publication says Austin Ventures wants more than $100 million for Asset International. And
peHUB puts Asset International's revenues at $60 million and its EBITDA at $15 million, putting the pricing at 1.7 times revenue and 6.7 times EBITDA. One sources tells the pub that the data side (i.e. Strategic Insight) is worth 13 to 14 times EBITDA, while the publishing side is worth 6 times EBITDA.
Who might buy Asset International, and with it Strategic Insight?
The Deal points to
Mergermarket, a
Peason subsidiary being
sold to British private equity shop
BC Partners. And
peHUB mentions
Reed Elsevier (where Casella used to run Reed Business U.S.) and
Wolters Kluwer, as well as
peHUB's parent,
Reuters. On the one hand,
Reuters sold
Source Media, but on the other hand it owns mutual fund data specialist
Lipper.
A host of financial publishing shops could take a look at the deal.
Bloomberg, now led again by its founder, could be interested.
Dow Jones, part of the
New News Corp, has wanted to be in the space forever.
Institutional Investor passed on Asset International last time around, and these days their focus has shifted more towards oil and energy publications.
Penton Media , backer of
WealthManagement.com and
Rep. (formerly
Registered Rep) might bid. Source Media itself is perpetually on the block.
Summit Business Media, backer of
AdvisorOne, might submit a bid.
The Deal's own parent,
TheStreet, could even try to buy Asset International. And another private equity buyer might get in on the deal. 
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