New buy and build platform investment in the SaaS insurance technology leader
SANTA MONICA, CA and MILWAUKEE, WI – September 17, 2020 – Clearlake Capital Group, L.P. (together with its affiliates, “Clearlake”) today announced that it has signed a definitive agreement to acquire Zywave, Inc. (“Zywave” or the “Company”), the leading software-as-a-service (“SaaS”) provider of front office insurance solutions, from Aurora Capital Partners (“Aurora”). The Company will continue to be led by Jason Liu, Chief Executive Officer, and the current management team, who are investing alongside Clearlake in the transaction. Financial terms were not disclosed.
Zywave is a market-leading provider of cloud-based insurance distribution software, offering expansive digital solutions to strengthen and grow insurance businesses. The Company’s mission-critical software solutions help insurance brokerages manage customer relationships by streamlining sales and renewal processes, quote delivery, content generation, and data tracking and analytics. Zywave currently serves over 6,000 brokerages including all of the top 100 U.S. insurance firms.
“Clearlake’s investment in Zywave is a true game-changer,” said Mr. Liu of Zywave. “This move will enable us to both accelerate our growth organically and increase our pace of acquisitions moving forward. Zywave is already a proven InsurTech leader, delivering end-to-end solutions to insurance professionals globally, and now we will have the opportunity to further expand upon our leadership position with even more impactful developments.”
“Zywave has a best-in-class software platform and an innovative portfolio of products that automate key revenue-generating activities at insurance brokerages. We have also been impressed by Zywave’s accelerating momentum under Jason’s leadership, and we share his and the management team’s vision that the Company will serve as an excellent platform for both organic and inorganic growth initiatives,” said Behdad Eghbali, Co-Founder and Managing Partner, and Prashant Mehrotra, Partner, of Clearlake. “We are pleased to partner with Zywave and look forward to leveraging our proprietary O.P.S.® framework to support the management team and its many talented and passionate employees to continue to grow the company.”
“We have thoroughly enjoyed working with Jason and his team to scale Zywave into the clear leader in the digital insurance market,” said Josh Klinefelter, Partner, Aurora, and Rob Fraser, Partner, Aurora. “We wish Zywave and Clearlake continued success in the next chapter of growth.”
William Blair & Company served as financial advisor to Zywave and Aurora.
Clearlake Capital Group, L.P. is a leading private investment firm founded in 2006. With a sector-focused approach, the firm seeks to partner with world-class management teams by providing patient, long-term capital to dynamic businesses that can benefit from Clearlake’s operational improvement approach, O.P.S.® The firm’s core target sectors are technology, industrials and consumer. Clearlake has approximately $25 billion of assets under management and its senior investment principals have led or co-led over 200 investments. More information is available at www.clearlake.com
Zywave leads the insurance tech industry, fueling business growth for its partners with cloud-based sales management, client delivery, content and analytics solutions. Offering a technology platform embedded with robust data and the most comprehensive content portfolio available, we empower smarter business decisions throughout the entire customer lifecycle. More than 6,000 brokerages worldwide—including all of the top 100 U.S. insurance firms—use Zywave solutions to enhance client services, achieve business growth and promote greater health, wellness and safety. Additional information can be found at www.zywave.com.
Aurora Capital Partners is a leading private equity firm focused principally on control investments in middle-market companies with leading market positions, stable industry dynamics, attractive business model characteristics and actionable opportunities for growth in partnership with management. Aurora provides unique resources to its portfolio companies through its Strategy & Operations Program and its team of experienced operating advisors. Aurora’s investors include leading public and corporate pension funds, endowments and foundations active in private equity investing. For more information about Aurora Capital Partners, visit www.auroracap.com.
Lambert & Co.