Advent International Acquires Sapiens International for $2.5 Billion

Sapiens International Corporation N.V. will be acquired by Advent International for $2.5 billion. Sapiens is a software provider for the insurance industry, and the acquisition is expected to close in the fourth quarter of 2025. The deal is subject to regulatory approvals and other customary closing conditions.

Sapiens International Corporation N.V., a leading software provider for the insurance industry, has announced its acquisition by Advent International for $2.5 billion in cash. The deal, which is expected to close in the fourth quarter of 2025, represents a significant premium over the company's previous share price.

According to the terms of the acquisition, Advent International will acquire a 56.5% stake in Sapiens International for $2.5 billion, valuing the company at approximately $2.5 billion. This represents a 64% premium over its previous share price. The acquisition is subject to regulatory approvals and other customary closing conditions.

Sapiens International's shares surged 40.68% in pre-market trading following the announcement. The company's CEO, Roni Al-Dor, expressed excitement about the partnership with Advent, stating that the deal delivers an excellent outcome for Sapiens' shareholders. He emphasized that the company remains committed to being a global leader in SaaS, digital, and AI-driven insurance software solutions across Life, Pension & Annuities and P&C markets.

Formula Systems, which currently holds a 43.5% stake in Sapiens, will continue to retain a meaningful minority ownership position in the company. The acquisition is seen as a strategic move to accelerate investment into technology innovation, AI, and customer centricity, positioning Sapiens to navigate market changes more effectively in a private setting.

The acquisition comes amidst a growing trend of insurers turning to technology to help unlock growth and profitability. AI-powered software applications are increasingly being used by insurers to reduce costs and improve efficiency. Advent International, a U.S. private equity firm, has been actively pursuing investments in the insurance industry, with this acquisition being the latest in a series of strategic moves.

References:
[1] https://www.ainvest.com/news/sapiens-international-soars-40-68-advent-acquisition-2508/
[2] https://www.reuters.com/world/middle-east/insurance-software-firm-sapiens-be-bought-by-advent-25-billion-2025-08-13/