Sapiens has agreed to acquire StoneRiver for $102 million in a cash deal, the core systems companies announced today.
Sapiens says the driver of the buy was a desire for the Israel-based company to expand more into the U.S. StoneRiver brings 200 clients and 500 employees in its Denver office to Sapiens. Its StreamSuite targets higher-tier carriers compared to Sapiens' signature offering, Stingray. StoneRiver also works in the workers' compensation market, opening a new avenue for Sapiens, according to the companies.
“Joining forces with StoneRiver significantly expands Sapiens’ presence and scale in the North American insurance industry, and specifically helps us further accelerate our growing market footprint in the U.S. P&C space,” says Roni Al-Dor, Sapiens president and CEO. “Moreover, the deal is closely aligned with our M&A growth strategy that is centered on three key factors: growing our customer base, expanding geographically and adding complementary solutions to our portfolio – all while we ensure our continued high quality of services and product delivery. StoneRiver is an acquisition that meets all of our criteria."
This is Sapiens' eighth acquisition in the past six years, Al-Dor adds. The last was Maximum Processing in June,
"Sapiens’ scale, financial strength, industry relations and innovative technologies will be a great benefit to current StoneRiver customers and will open up new opportunities for our employees and partners," says StoneRiver CEO Gary Anderson.