CCC Intelligent Solutions has reached a $730m deal to acquire EvolutionIQ, a platform for AI-powered guidance in disability and injury claims management.
The acquisition is said to enhance CCC’s AI-powered SaaS offerings and extend its market reach.
This move builds on the launch of CCC’s Intelligent Experience Cloud platform, which aims to provide AI-powered workflows and new insights to over 35,000 companies in its network.
The deal consideration will be a mix of around 40% CCC common stock and 60% cash, which will be paid via cash on balance sheet and a $225m term loan.
This transaction is slated for completion in the first quarter of 2025, contingent on standard closing conditions.
CCC secured financial advice from J.P. Morgan and Citi for this deal, while Kirkland & Ellis and Lowenstein Sandler are the legal advisors for CCC and EvolutionIQ, respectively.
This acquisition will integrate EvolutionIQ’s AI-driven claims guidance and intelligent summarisation capabilities into CCC’s suite of SaaS solutions to manage auto casualty claims and injury claims annually on CCC’s platform.
The EvolutionIQ team will join CCC, focusing on growing their core markets with the support of CCC’s operational infrastructure.
In addition, CCC has initiated a share repurchase programme authorised by its Board of Directors, with a cap of $300m, to be financed through available liquidity and free cash flow.
EvolutionIQ co-founder and co-CEO Michael Saltzman said: “ Our unique team of world-class insurance experts, data scientists, engineers, and customer success professionals have built category-creating technology that’s delivered tremendous value to our carrier customers, their employer policyholders, and claimants, all because of the possibility to accelerate return to health.”
CCC chairman and CEO Githesh Ramamurthy stated: “Acquiring EvolutionIQ adds proven, AI-powered injury claims resolution capabilities to our existing auto casualty product suite and accelerates CCC’s strategy of leveraging real-world AI to solve complexity across the broader insurance ecosystem.”
“CCC enters deal to buy EvolutionIQ for $730m ” was originally created and published by Life Insurance International, a GlobalData owned brand.
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