Sapiens to Undergo Acquisition by Advent at a Value of $2.5 Billion
In a significant move, Sapiens International Corporation N.V. has agreed to be acquired by funds advised by Advent for $43.50 per common share in an all-cash transaction. The transaction, valued at approximately $2.5 billion, requires approval by Sapiens' shareholders and receipt of regulatory approvals.
The strategic rationale behind Advent's acquisition is to accelerate Sapiens' innovation in SaaS-based insurance solutions. By leveraging Advent's global private equity resources, Sapiens aims to transition into a privately held company, enabling greater flexibility and investment to drive its long-term growth and innovation strategy in the insurance software sector.
Roni Al-Dor, Chief Executive Officer of Sapiens, has approved the transaction. Funds advised by Advent have committed an aggregate equity contribution of $1.3 billion. Advent has also arranged committed debt and equity financing commitments for the purpose of financing the transaction.
For Sapiens' customers, employees, and partners, the acquired status under Advent offers several benefits. Customers can expect accelerated innovation and enhanced SaaS-based insurance solutions, supporting their transformation journeys with improved product offerings and service excellence. Employees gain from the stability and growth opportunities that typically come with private equity backing, including potential investment in talent and technology. Partners benefit from a stronger, financially supported Sapiens capable of expanding its global reach and deepening industry collaborations.
The transaction delivers a substantial cash value to Sapiens' shareholders at an attractive premium, reflecting a 64% premium over Sapiens' undisturbed closing share price of $26.52 on August 8, 2025. The Sapiens Board of Directors has unanimously approved the Agreement and the transaction. Upon completion, Sapiens' common shares will no longer be publicly listed.
Sapiens shareholder Formula Systems (1985) Ltd. will retain a minority stake in the Company. The transaction is expected to close in Q4 2025 or Q1 2026, subject to customary closing conditions. Advent aims to work with Sapiens to accelerate investment into technology innovation, AI, and customer centricity, with the partnership aiming to deliver the next generation of insurance solutions for customers. Formula will continue to retain ownership in Sapiens and is excited to partner with Advent to accelerate the transition to AI and SaaS.
- The strategic intent of Advent's acquisition involves employing technology innovation to boost Sapiens' SaaS-based insurance solutions in the insurance software sector.
- Advent's investment in Sapiens will facilitate the transition of Sapiens into a privately held company, allowing for greater allocation of funds towards finance and technology.
