Read on Twitter
THREAD: #Insurtech M&A: AmFam & Bold Penguin (BP) acquisition 1/6
Deal value:
~$525M:
~$200M upfront price
~$325M in earn-outs
$15M - $20M in revenue (2020) ~half from enterprise deals
$35M:Â Projected revenue 2021
FT Partners shopped them around with a term sheet of $520MÂ 2/6
~$525M:
~$200M upfront price
~$325M in earn-outs
$15M - $20M in revenue (2020) ~half from enterprise deals
$35M:Â Projected revenue 2021
FT Partners shopped them around with a term sheet of $520MÂ 2/6
These numbers were collected from several sources, but according to AmFam our numbers are wrong: "We are not disclosing the financial details of the transaction, but the numbers you provided are wrong" 3/6
Earnouts remained a question mark as to the exact number so these numbers provide a range and a very close one in our opinion 4/6
Refresher: In mid-Jan AmFam announced the acquisition of BP - commercial insurance rater with 3 main units of ops - agency-facing commercial insurance rater, lead exchange, enterprise solution where it powers rating engines on behalf of Progressive and Nationwide 5/6
BP was established in 2016, went on to raise over $50 million, struggled through COVID according to a few sources as "business dried up", acquired xagent and RiskGenius - TBD whether the whole is bigger than the sum of its parts - as you can see BP = many parts 6/6
