Ratings agency Moody’s Corporation has acquired a minority stake in Hong Kong-based start-up MioTech, a provider of alternative data and insights serving the environmental, social, and governance (ESG) and know-your-customer (KYC) markets in Greater China.

MioTech, which will continue to operate as an independent entity, uses artificial intelligence (AI) to track and scan alternative data sources related to ESG and KYC factors, supply chains, and financial information for over 800,000 public and private companies in China. Its analytical tools turn unstructured datasets into insights for portfolio managers, research analysts, and risk managers, and its AI algorithms detect entities’ vulnerabilities by monitoring news, social media, disclosure, and other forms of alternative data in real time.

“MioTech’s technology platform collates and analyzes an impressive range of company and industry data from a variety of public sources to provide relevant information to customers,” said Min Ye, managing director and head of international for Moody’s. “Our partnership will provide valuable data, analytics, and insights to China’s domestic risk and investment markets.”

Moody’s and its affiliates will seek to incorporate MioTech’s offerings to streamline analytical processes, monitor portfolios, inform risk assessments, accelerate product developments, and deepen coverage of China.