Moody’s Investors Service has expanded in central Europe with the acquisition of CRA Rating Agency, which is based in the Czech Republic.

Moody’s is buying the company from Pragocontact Corporation, a U.S.-based private equity firm. Moody’s intends to rename the agency “Moody’s Central Europe”. Terms and conditions of the transaction are not being disclosed and the financial impact to Moody’s is not expected to be material.

CRA has almost 100 public ratings on companies, financial institutions, and regional and local governments in the Czech Republic, Hungary and the Slovak Republic. CRA, which is headquartered in Prague, began operations in 1998 and entered into a strategic cooperation agreement with Moody’s in October 2000. Since then, Moody’s has provided CRA with technical support and analyst training based on its globally recognised credit analysis techniques.

“With a full service office in Central Europe, Moody’s will be able to better serve market participants throughout the region,” said Mike Foley, senior managing director Europe. Foley added that “The acquisition of CRA will strengthen Moody’s presence in the Czech Republic, Hungary, Poland, the Slovak Republic and neighboring countries. It will also complement Moody’s recent opening of Moscow-based Moody’s Eastern Europe, which supports client needs in Russia and the CIS countries.”