Advent’s $2.5B Sapiens Deal Takes Bet on Insurance Tech
Plus: We outline portco M&A and exits from last week.
Oh, Man.
Advent International agreed to take Sapiens, an Israeli provider of insurance software, private. Currently, the company is traded on the Nasdaq.
The deal, expected to close in Q4 2025 or Q1 2026, is an all-cash transaction valued at approximately $2.5 billion, of which $1.2 billion will be funded through debt. Shareholders will receive $43.50 per share, representing a 64 percent premium over the company's undisturbed closing price of $26.52 on August 8, 2025. Following the acquisition, existing shareholder Formula Systems will retain a minority stake.
Learning The ABCCCs.
It’s not the firm’s first time in the insurance tech space. In 2017, for example, Advent bought CCC Intelligent Solutions, a SaaS platform serving the auto insurance ecosystem, from Leonard Green and TPG.
After that 2017 acquisition, Advent grew CCC’s scale and software capabilities, infusing over $500 million into research and development, which helped CCC expand beyond its core Estimating, Casualty, and CCC ONE suites into next-gen solutions like AI-driven photo analytics, Intelligent Reinspection, and Build Sheets for VIN-based parts tooling.
In early 2021, CCC merged with SPAC Dragoneer to go public as CCC Intelligent Solutions Holdings, retaining Advent as a significant investor (a 62.8 percent equity stake). Over the past four years, Advent has slowly offloaded that stake, currently holding just 5.7 percent of the company.
While the firm was set to IPO at a $7 billion market cap, its current market cap sits at just $6.29 billion.
R&D Ready?
Could an R&D-heavy strategy be replicable with Sapiens? Maybe — but it’s worth noting that Sapiens has a more diversified global customer base and larger scale, meaning integration may prove to be tricky.
An R&D-heavy strategy is feasible for Sapiens, but the spend will need to be more surgical than CCC’s broad platform build-out, likely focused on AI-enhanced underwriting/claims and API-driven integrations that can drive immediate cross-sell and upsell.
Advent International declined to comment.
PE portcos also saw some full and partial exits over the past two weeks, as well as some exits-to-be:
Orchard Software, a U.S.-based provider of healthcare laboratory information systems backed by Francisco Partners, was acquired by CliniSys. Financial terms were not disclosed.
One Equity Partners, Warburg Pincus, and Green Cement Investments sold Eco Material Technologies, a sustainable construction materials company, to CRH, the global building materials group, for $2.1 billion.
EQT exited its remaining stake in Galderma Group, a skincare company it took public in 2024. The sale resulted in aggregate gross proceeds of CHF 2.1 billion ($2.6 billion), of which EQT received c. CHF 555 million. EQT initially invested in Galderma, then called Nestlé Skin Health, in 2019 when a consortium led by EQT and ADIA carved the company out from Nestlé for CHF 10.2 billion.
Accel-KKR sold Smart Communications, a provider of customer communications management software for regulated industries, to Cinven for $1.8 billion. Accel-KKR acquired a controlling stake in Smart Communications in 2016 following its carve-out from Thunderhead.
CD&R sold a 25 to 30 percent minority stake in Motor Fuel Group, a manufacturing solutions provider, to a group of institutional investors led by Apollo for £500 million ($677 million), or a £7 billion enterprise valuation. CD&R acquired MFG in 2021 in a transaction valued at £500 million and retains a controlling stake post-transaction.
Frazier Healthcare Partners sold Elevate Patient Financial Solutions, a patient billing and revenue cycle services provider that the firm has held since 2019, to Audax Private Equity and Parthenon Capital Partners for an undisclosed amount.
Crestview Partners exited Elo Touch Solutions, a U.S.-based touchscreen technology company, to Zebra Technologies in a $1.3 billion sale. Crestview acquired Elo in 2018 (terms undisclosed) and held a controlling stake.
TPG sold Trustpoint, a provider of legal tech solutions, which the firm has held since 2023, to Francisco Partners. Financial details were not disclosed.
Blackstone agreed to acquire Enverus, an energy analytics and SaaS platform, from Hellman & Friedman and Genstar Capital for between $6.1 billion and $6.4 billion.
HeartFlow, a medtech firm backed by Bain Capital, went public on the Nasdaq with a valuation of $2.27 billion.
Apollo acquired Trace3, a technology solutions and AI adoption services provider, from American Securities, which acquired the company in 2021 and will retain a minority stake. Financial terms were not disclosed.
The Carlyle Group sold HSO, a Microsoft solutions integrator the firm has held since 2019, to Bain Capital for nearly $1 billion.
Apollo acquired Kelvion, a global provider of heat exchange and cooling solutions, from Triton, which will retain a minority stake. The deal values the business at around €2 billion ($2.3 billion), including debt.
EQT agreed to sell Nexon Asia Pacific, a mobile game publishing business, to Adamantem Capital. EQT initially acquired Nexon in 2019; financial terms of the sale were not disclosed.
Meanwhile, portco M&A was in full swing:
Brookfield-backed Chorus Aviation agreed to acquire Elisen Associates Inc., an American aviation services firm. Financial terms were not disclosed.
LeBronze Alloys, a UK-based manufacturer of copper alloy components backed by Astorg since 2024, acquired M-Lego, a metal fabrication specialist, from AUREA. Financial terms were not disclosed.
Permira’s Versaterm, a defense tech company, acquired DroneSense, an American drone operations platform, for an unknown sum.
Syspro, an enterprise resource planning software company owned by Advent International, acquired DataScope, a warehouse management software company, for an undisclosed amount.
Healthcare optimization software provider Machinify bought Performant Healthcare, a healthcare revenue cycle management tech company, for $670 million. Machinify is owned by New Mountain Capital.
Vista Equity-backed Cloud Software Group bought Arctera, a SaaS-based digital transformation company, for an unknown sum.
Astorg’s Normec Group, a European compliance and certification services provider, acquired three U.S. companies to expand into North America: MS Bio, MJ Reider, and NorthEast BioLab. Normec has now completed over 85 acquisitions, bringing its total enterprise value to €2 billion. Terms of the deals were not disclosed.
TA Associates-backed Rocscience, a structural and geotechnical engineering software company, acquired Rockfield, a UK-based provider of structural modeling solutions, for an undisclosed amount.
AVS Bio, an Arlington Capital Partners-backed protein production company, bought ImmunoPrecise Antibodies Europe from ImmunoPrecise Antibodies Ltd, a Canadian biotech firm, for $12 million.
Apleona, a real estate management firm backed by Bain Capital, acquired Corrigenda, a software solutions provider. Terms were not disclosed.
Altus Fire and Life Safety, a provider of fire protection and life safety solutions backed by Apax Partners, acquired Star Fire Protection for an unknown amount.
Westland Insurance, a Canadian insurance brokerage firm backed by OTPP, bought Paul Ayotte Insurance Brokers, expanding its presence in Ontario. Financial terms were not disclosed.
And there were some key people moves:
At Shamrock Capital, Michael LaSalle and Andrew Howard were promoted to co-president and partner, while Stephen Royer moved from president and partner to chairman and partner.
Maggie Anderson joined JLL Partners as an operating partner, bringing over 25 years of healthcare experience with her, including senior roles at DaVita and Lifeline Vascular Care.
