Thoma Bravo-backed Nearmap has agreed to purchase insurance coverage expertise supplier itel from non-public fairness agency GTCR, the businesses stated on Tuesday, because it seems to be to increase its choices throughout property portfolios.
The deal values itel at over $1.3 billion, together with debt, a supply accustomed to the matter advised Reuters. GTCR declined a touch upon the deal worth.
The deal highlights the revived deployment of dry powder by buyout companies because the trade’s restoration from excessive rates of interest was disrupted by tariff-driven turbulence.
The alternate of personal belongings within the secondaries market has additionally come to the forefront, with the freeze in IPO market, the standard liquidity supply for personal fairness, forcing many managers to promote their holdings at a reduction.
Based in 1993, itel makes use of its proprietary database and expertise to scale back prices for insurance coverage corporations within the property and casualty phase. The corporate additionally assists policyholders with injury assessments by way of its cellular platform.
Jacksonville, Florida-based itel gives its providers to the entire high 100 insurance coverage carriers in North America.
GTCR, which manages over $45 billion in capital, purchased itel in August 2021 from PNC Riverarch Capital. The agency, in a launch on Tuesday, stated that the insurance coverage tech agency had doubled its income over the previous three years.
“GTCR has been a fantastic accomplice to us as we have now constructed itel into a number one information and analytics firm within the property claims ecosystem,” stated itel CEO Brian Matthews in an announcement.
The sale to Thoma Bravo comes simply over a month after GTCR achieved a uncommon, vital return by promoting its 55% stake in funds processor Worldpay to International Funds GPN.N in a $24.25 billion three-way deal.
In an atmosphere the place non-public fairness companies have been compelled to carry onto their investments for longer intervals, Thoma Bravo has additionally been lively, liquidating its holding in alternate operator Nasdaq NDAQ.O in two separate block trades earlier within the month.
Thoma Bravo had acquired Australia-based insurance coverage expertise agency Nearmap in December, 2022.
Raymond James and Financial institution of America acted because the monetary advisers to itel, whereas Latham & Watkins served as its authorized counsel.
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