January 18, 2022 - The LSTA wanted to help clear up some potential marketplace confusion about the future of loan CUSIPs.
As many members know, to secure regulatory approval from the European Commission for its pending merger agreement with IHSMarkit, S&P Global committed to divest the CUSIP Global Services (CGS) business. S&P Global has managed CGS since its inception on behalf of the American Bankers Association (ABA). S&P Global and the ABA established the service in 1968 to improve operating efficiencies across the financial markets based on a standard method of identifying financial assets. This divestiture is dependent on closing the S&P Global-IHS Markit merger and other customary conditions.
These events herald a new chapter for CUSIP, which will continue to operate as the gold standard identifier in financial markets. FactSet (NYSE:FDS) (NASDAQ:FDS), a global provider of integrated financial information and analytical applications, has entered into a definitive agreement to acquire CGS from S&P Global. CGS will function as part of FactSet Content and Technology Solutions as it continues to carefully steward the CUSIP system in close partnership with the ABA to ensure a seamless transition and continued innovation.
Therefore, be assured that CGS will continue to issue and disseminate loan CUSIPs as it works with administrative agents to uniquely identify deals and facilities.
Scott Preiss, managing director and global head of CUSIP Global Services, said “CUSIP Global Services remains committed to providing the certainty and reliability of the CUSIP system to the loan market, and to working with the LSTA to bring innovative solutions to market participants for years to come. The LSTA has been a highly valued strategic partner of CGS for nearly two decades, and we are proud of the efficiencies that our collaboration has brought to the industry and look forward to an even brighter future together.” The LSTA also reaffirms its commitment to CGS and CUSIPs and the role they play in the continued improvement of operational efficiencies in the loan asset class.