Integrated risk management software provider, Sphera has been acquired by The Blackstone Group for $1.4 billion. Founded in 2016, the Chicago-based company offers environmental, social and governance software, data and consulting services. It was launched when private equity firm Genstar Capital bought OERM and renamed it Sphera. Since then, it has been headed by Paul Marushka.
The company is the largest global provider of integrated risk management software and information services with a focus on environmental performance, operational risk and product stewardship. Blackstone has been trying to strengthen its ESG credentials as investors and lawmakers across the globe increasingly question companies about their environmental and social impact, pushing major global businesses to make significant investments in ESG initiatives.
“The increasing importance of ESG issues to businesses globally is a key thematic investing focus for Blackstone,” said Eli Nagler, senior managing director at Blackstone.
The buyout of Sphera will allow Blackstone to gain access to the company’s proprietary SaaS software, which helps its customers negate ESG risks. With about 3,000 customers spanning roughly 100 countries, Sphera’s acquisition will give Blackstone a strong foothold in the ESG space.