Moody's Fortifies Position in Latin America, Fully Buys ICR Chile

Moody's Corporation MCO has fully acquired ICR Chile, strengthening its presence in Latin America’s domestic credit markets. The terms of the deal have not been disclosed and the transaction will not have a material impact on Moody’s 2025 financial results.

This transaction follows Moody’s acquisition of a minority stake in ICR Chile in 2019.

Back then, Alvaro Clarke, president of ICR Chile, said, “Moody’s is a global leader in credit ratings and research with a strong presence in Latin America. The Chilean capital markets will benefit from that global perspective as we continue to provide deeper and more comprehensive services to our customers and the domestic debt markets in Chile.”

Now that Moody’s has fully acquired ICR Chile, the latter will continue issuing domestic ratings in Chile under its own rating process and methodologies. In a couple of months, ICR will be fully integrated into Moody’s Local, a group of leading credit rating agencies in Latin America.

Martin Fernandez-Romero, managing director of Moody’s Local, stated, “Today’s acquisition builds on our successful partnership with ICR and underscores our commitment to Chile’s growing debt capital market. Bringing ICR into Moody’s Local will enhance our ability to provide high quality credit ratings, research, and analytical services to market participants, while contributing to greater transparency in Latin America.”

Other Efforts Taken by Moody’s to Grow Inorganically

Moody’s has been growing through strategic acquisitions, increasing scale and cross-selling opportunities across products and vertical markets. In 2024, the company announced the acquisition of Numerated Growth Technologies and a 100% stake in GCR to deepen its presence in Africa’s domestic credit market.

In 2023, MCO acquired SCRiesgo, which bolstered its presence in Central America and the Dominican Republic. These deals, along with several other strategic buyouts, are expected to help the company diversify revenues. Moreover, Moody's will continue to pursue opportunistic deals that are strategic fits and complement its existing operations.

MCO’s Efforts to Grow Outside Credit Ratings

Moody’s has also been pursuing growth in areas outside the core credit ratings service. In January 2025, the company acquired CAPE Analytics and in September 2024, closed the buyout of Praedicat to enhance its insurance solutions and strengthen the risk-assessment strategy.

The company has increased its exposure to the banking and insurance industries and is diversifying into fast-growing professional services and ERS businesses.

MCO’s Price Performance & Zacks Rank

In the past year, shares of Moody’s have gained 14.8% compared with the industry’s 15.6% growth.

Currently, the company carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Inorganic Growth Efforts by Other Finance Firms

A few days ago, Commerce Bancshares, Inc. CBSH entered an agreement to acquire FineMark Holdings in an all-stock transaction valued at $585 million. The closing of the deal, expected on Jan. 1, 2026, is subject to regulatory approval, approval of FineMark shareholders and other customary closing conditions.

The transaction is expected to be 6% accretive to CBSH’s 2026 GAAP earnings, with fully phased cost savings. Cost savings of 15% of FineMark’s non-interest expenses are expected.

Likewise, in March 2025, BlackRock Inc. BLK completed the acquisition of Preqin, a premier independent provider of private markets data, solidifying its capabilities to cater to the rising demand among clients.

The deal, announced in June 2024 for $3.2 billion (£2.55 billion) in cash, reached a milestone in BLK’s strategy to enhance its private markets capabilities by integrating investments, technology and data across the entire portfolio.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research