S&P Global Buys AI Startup Kensho in $550 Million Deal
S&P Global acquires artificial intelligence firm Kensho for $550 million after previously serving as both a client and lead investor.
S&P Global acquires Kensho, a Cambridge-based artificial intelligence startup, for $550 million in a combination of cash and stock. The financial data giant already maintains a strong relationship with Kensho as both a client and the lead investor in a $50 million funding round last year.
Kensho builds sophisticated algorithms and machine learning tools for major financial institutions and national security applications through its Koto division. The startup states its mission involves solving some of the largest analytical problems in the world, a goal that requires significant financial resources and world-class engineering talent.
Under the terms of the acquisition, Kensho operates as an independent brand and remains in its current Cambridge offices. The deal provides the deep financial backing Kensho needs to tackle massive AI challenges, though the transaction still requires standard regulatory approval before it officially closes.