A six-year journey to a fully owned GCC
Preqin didn’t set out to build its largest office in the world, but due to the strategic advantages they experienced, that’s exactly where they ended up. The initial goal was to build the next generation of the Preqin Pro platform, a project that had stalled with a third-party outsourcing provider. Once they experienced the incredible talent available in Bangalore, as well as the favourable economics, they started scaling further, initially with additional Software engineers, then Data engineers and finally additional shared services.
Due to the size of their operation and a pending acquisition by BlackRock, they initiated the process to transfer their Bangalore operation into their full ownership under a new Indian legal entity.
The initial challenge: Modernising Preqin Pro
Preqin was engaged with a well-known IT outsourcing company to develop its flagship product: Preqin Pro, a financial data service for the alternative assets markets. The quality of work was good, but as the project continued, Preqin wanted greater visibility and control over the development process, especially as they prepared for the next-generation version. When they explored new options, they discovered The Scalers.
After some initial consultation, Preqin agreed to start with a dedicated 4-person engineering team as a test of The Scalers model. The difference was soon visible with the new Indian team integrating with their UK counterparts and soon delivering the MVP of the refactored Preqin Pro.
We wanted to have our own team and make it very ‘Preqin’ and we wouldn’t have been able to build that team so quickly without The Scalers. They handled all of the hassles so we could spend our time building quality software and collecting quality data. And we wouldn’t have grown as Preqin without the team in India.
Growing into an R&D Centre
With the quality of talent in Bangalore and the model proven, the Preqin leadership team agreed to expand their Bangalore team. Initially, these new hires were focused on Preqin Pro; however, more employees were onboarded subsequently into Preqin’s other products, with the team growing to over 50 Engineers within the first 6 months.
To further capitalise on the cost-efficient and skilled talent pool, Preqin established an R&D team to help increase innovation in the company. This helped bring their total Engineering capacity to over 100, a year and a half after starting their partnership with The Scalers. It was at this point that Preqin looked to leverage India’s talent pool to solve other challenges.
Scaling data operations
Word of the success of Preqin’s offshore Engineering team soon went around the company. Soon, their leadership team began to wonder if the same would work for their data engineering needs. Prior to this point, they had been relying on a series of external service providers around the world. If they could secure skilled data analysts, engineers, and scientists in Bangalore, they could consolidate their operations, gain more control, and potentially save on costs as well.
Similar to their engineering team, they agreed to start with a small trial team to see if the exact profiles they were looking for were available in the market. Again, the trial team proved its value and the strategic decision was made to consolidate its data operations in Bangalore, leveraging The Scalers model. Over the next three years, they scaled from their first team to over 300 experts within their DataOps.
Preparing for full ownership
After three years of scaling, Preqin’s Bangalore office had become its largest office globally, delivering considerable value to its customers. To ensure complete control of this vital asset and increase efficiencies, Preqin made the decision to transfer ownership into its own legal entity in India. The Scalers assisted the whole process over the following years, starting with creating a shared timeline, then assisting in the process of setting up a legal entity and recruiting local employees to assist the transition to become a full shared services centre. Finally, The Scalers help transfer all the relevant documentation and assets into Preqin’s entity while being retained to provide assistance to fill any new vacancies.
It was during these transition years that The Scalers’ assisted in setting up Preqin’s dedicated office.
Setting up a dedicated office space
Preqin’s executives wanted a dedicated office to help increase in-person collaboration and facilitate trainings. The Scalers took care of everything. With their knowledge of Bangalore, they soon found a prime location in the heart of the city with enough space for over 250 employees, meeting rooms, a canteen for daily meals, and training rooms. The Scalers coordinated and managed the whole process from designs, to materials and construction.
At the end of 2022, the office was officially opened and was in full use by the start of February 2023. It was an instant success and has driven increased collaboration and facilitated training.
Key Milestones
4-person scrum team
starts
70 engineers and the public release of Preqin Pro
Over 150 employees including new Data Team
217 employees; Preqin establishes own entity in India
305 employees; Preqin moves to dedicated office building
Over 450 employees in Bangalore; 120+ engineers and 300+ person Data Team
A $3.2Bn acquisition
Preqin had grown significantly since the partnership with The Scalers started. Not just the size of the operation, but also in revenue in no small part driven by Preqin Pro and the contributions of their Bangalore team. It was no surprise when Preqin attracted the interest of investment groups and eventually sealed a USD $3.2 billion acquisition by the BlackRock group, finalised after the conclusion of the transfer of their Bangalore office.
Results
Preqin’s Bangalore presence has transformed from a single team to the heart of its development and data analytics. From the start, every team has been a Preqin team, with their cultural DNA written in. The close collaboration and alignment enabled the Bangalore team to deliver ongoing value, driving the development of Preqin Pro, and helped Preqin secure its position as a global leader in alternative assets insights.
