Moody’s, S&P Race Into ESG Ratings Space With Acquisitions (1)

Credit rating companies are muscling their way into the burgeoning world of responsible investing, purchasing smaller outfits that provide environmental, social and governance (ESG) scores.

S&P Global Inc. is acquiring RobecoSAM’s ESG ratings business in a bid to compete with other major providers. Its biggest rival, Moody’s Investors Service Inc., bought a minority stake in China-based SynTao Green Finance last month and a majorityof Vigeo Eiris in April.

The RobecoSAM deal will enable S&P to build on existing “already scalable data factory and platform,” according to John Berisford, S&P Global Ratings president. The 159-year-old ratings provider is ...