Advent to Acquire Israeli Insurance Software Firm Sapiens for $2.5 Billion

Sapiens International, an Israeli insurance software firm, will be acquired by Advent International for $2.5 billion in cash. The deal, which represents a 47.5% premium over Sapiens' last close, will make the company privately held. Advent plans to accelerate investment in technology innovation, AI, and customer centricity. Sapiens' existing shareholder Formula Systems will retain a minority stake.

Israeli insurance software firm Sapiens International (NASDAQ: SPNS) has entered into a definitive agreement to be acquired by Advent International, a global private equity investor, for $2.5 billion in cash. The deal represents a 47.5% premium over Sapiens' last close of $29.50 on the Nasdaq on Tuesday, valuing the company at about $2.5 billion [1].

The acquisition comes as Advent continues its expansion into the insurance industry, following months of exclusive negotiations to acquire Paris-based Kereis, the largest broker for housing protection insurance in France, from Bridgepoint [2]. Advent aims to accelerate investment in technology innovation, AI, and customer centricity, leveraging Sapiens' expertise in AI-powered software applications to help insurers reduce costs and unlock growth and profitability [2].

Sapiens' shareholders will receive $43.50 per share in cash, making the company privately held upon the deal's closure. Existing shareholder Formula Systems will retain a minority stake in the company, with Formula Systems' CEO Guy Bernstein expressing excitement about partnering with Advent to transition Sapiens to AI and Software as a Service (SaaS) [2].

Earlier this month, Advent failed to acquire British scientific instruments maker Spectris after the latter decided against proceeding with the private equity firm's 4.8 billion pound ($6.48 billion) buyout proposal, backing rival suitor KKR's offer instead [3].

References:
[1] https://seekingalpha.com/news/4484404-sapiens-to-be-acquired-by-advent-for-25-billion
[2] https://www.insurancejournal.com/news/international/2025/08/13/835538.htm
[3] https://www.reuters.com/world/middle-east/insurance-software-firm-sapiens-be-bought-by-advent-25-billion-2025-08-13/