Israel-based financial software provider Sapiens International Corp. said it has agreed to buy Maximum Processing Inc., a property/casualty insurance software provider known for its Stingray System.
Maximum Processing is a privately-held company headquartered in Bradenton, Florida, with offices in Garner, North Carolina. Maximum Processing’s 2015 full-year annual revenue was approximately $6 million. Management said it expects the transaction to be accretive to earnings in 2017 and beyond.
The Stingray is a modular, web-based software that handles policy rating, issuance and administration for small carriers, managing general agents (MGAs), third-party administrators (TPAs) and insurance brokers. The transaction is expected to close by the end of June 2016. It has about 30 carrier customers.
“Small carriers remain very active in core system replacement projects and Maximum Processing has had good momentum in this space,” said Karlyn Carnahan, research director, Celent, quoted in the announcement by Sapiens. “This investment by Sapiens will bring additional expertise, resources and relationships to Maximum Processing, driving their product, service and sales momentum, and making an immediate impact in the North American property and casualty market.”
With this acquisition, Sapiens gains a foothold in the North American P/C insurance market.
“Our growth strategy continues to include a combination of organic growth and M&A activity,” said Roni Al-Dor, Sapiens’ president and CEO.
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