Sapiens International Corporation, a provider of software solutions for the insurance industry, has signed a definitive agreement to acquire AdvantageGo, a commercial re/insurance software provider, to enhance its global property and casualty (P&C) proposition through a structured cash deal, based on an enterprise value of £43 million.

This acquisition aligns with Sapiens’ strategy to penetrate the London Specialty Market, and strengthen its support for the reinsurance market. It is expected to close in the coming weeks. Upon completion, Advantage Go will become wholly owned by Sapiens.

AdvantageGo’s underwriting workbench will integrate with Sapiens Insurance Platform for P&C and be offered as a standalone solution, which will help the firm manage, assess, and write risk more effectively.

Its innovative capabilities are expected to provide a compelling value proposition for Sapiens’ existing P&C customers in EMEA and APAC, operating in conjunction with Sapiens’ P&C Platform.

The strategic acquisition aims to strengthen Sapiens’ value proposition in the North American P&C market by enhancing its capabilities for insurers operating in complex specialty and commercial lines.

For the full year 2024, AdvantageGo revenues were £15 million, based on US GAAP, with approximately 50% from recurring revenues, with gross margin accretive to Sapiens’.

Due to AdvantageGo’s strategic investments in its product in recent years, it reported a loss of £9 million in FY’24.

Through this acquisition, AdvantageGo is expected to grow at a double-digit rate in 2026, with profitability to improve over time and become accretive to Sapiens’ profit starting in 2027, driven by revenue growth and integration.

BDA Partners and William Blair acted as financial advisors to Coforge. JSA acted as legal advisor to Coforge, and Meitar acted as legal advisor to Sapiens in connection with the transaction.

Martin Higgins, Senior Principal, Datos Insights, commented, “The underwriting workbench market has grown significantly as insurers recognise the value of sophisticated decision support tools. Sapiens is breaking ground by being the first major core system vendor to integrate these capabilities directly into their platform. This approach delivers immediate value for insurers handling complex specialty and commercial lines, addressing a critical gap in the current technology landscape.”

Roni Al-Dor, President and Chief Executive Officer of Sapiens, added, “Sapiens’ growth strategy includes targeted acquisitions that accelerate our business. The acquisition of AdvantageGo aligns with our mission, and expands our portfolio with complementary solutions, extends our global footprint, and deepens our talent pool.

“We are excited to welcome AdvantageGo’s team and loyal customers to Sapiens. We remain committed to investing in AdvantageGo’s products, ensuring continuity, innovation, and long-term value for their customer base.”

Ian Summers, Global Business Leader of AdvantageGo, added, “Joining Sapiens means becoming part of a leading global product organisation that will amplify our capabilities and enhance our solutions, creating greater opportunities for our clients and team.

“We look forward to integrating our products into Sapiens Insurance Platform to deliver a seamless and powerful offering for the European and North American markets. We are committed to ensuring a smooth transition and continued service excellence for all our customers.”

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