Advent, a leading global private equity investor, has entered into a definitive agreement to acquire Sapiens International Corporation N.V., a provider of software solutions for the insurance industry, for $43.50 per common share, in an all-cash transaction that values Sapiens at an equity value of approximately $2.5 billion.
This represents a premium of approximately 64% over Sapiens’ undisturbed closing share price of $26.52 on August 8th, 2025, and a premium of approximately 51% to both the 30-day and 60-day volume-weighted average price as of August 8th, 2025.
Upon completion of the transaction, Sapiens’ common shares will no longer be publicly listed, and Sapiens will become a privately held company. Existing Sapiens shareholder Formula Systems (1985) Ltd. will retain a minority stake in the Company.
The transaction is expected to close in the fourth quarter of 2025 or the first quarter of 2026, subject to the satisfaction of customary closing conditions, including approval by Sapiens’ shareholders and receipt of regulatory approvals.
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The duo aims to drive digital transformation in the insurance technology sector, leveraging Sapiens’ robust technology and Advent’s operational expertise. Advent’s investment will accelerate Sapiens’ innovation in SaaS-based insurance solutions.
To finance this transaction, providing a high level of closing certainty, Advent has arranged committed debt and equity financing commitments. Funds advised by Advent have committed an aggregate equity contribution of $1.3 billion on the terms and subject to the conditions outlined in the signed equity commitment letters.
In April 2025, Sapiens signed a definitive agreement to acquire AdvantageGo, a commercial re/insurance software provider, to enhance its global property and casualty (P&C) proposition through a structured cash deal, based on an enterprise value of £43 million.
Roni Al-Dor, Chief Executive Officer, Sapiens, commented, “This transaction marks a significant milestone in Sapiens’ journey, reinforces the success of our strategy, our commitment to delivering exceptional value to our customers, and the strength of our global team. Following a deliberate process, the Board of Directors approved this transaction, which delivers an excellent outcome for Sapiens’ shareholders, providing them with a substantial cash value at an attractive premium.
“We are excited to enter the next chapter for Sapiens in partnership with Advent to continue supporting insurance carriers with their entire transformation journey, delivering the product innovation and service excellence they expect from us. Sapiens remains fully committed to being a global leader in SaaS, digital, and AI-driven insurance software solutions across Life, Pension & Annuities and P&C markets.”
Douglas Hallstrom, Director, Advent, said, “We are delighted to partner with Sapiens to support its next phase of innovation. Insurers are increasingly turning to technology to help unlock growth and profitability, drive innovation and improve business resilience, with Sapiens a critical partner in enabling this for market-leading insurers globally.
“We will work with the company to accelerate investment into technology innovation, AI, and customer centricity. This transaction comes at a critical time of market change, and we believe Sapiens will more effectively be able to navigate this in a private setting.”
Guy Bernstein, CEO, Formula, added, “Formula will continue to retain ownership in Sapiens and is excited to partner with Advent to accelerate the transition to AI and SaaS, delivering the next generation of insurance solutions for our customers.
“This partnership builds on Formula’s longstanding commitment to innovation while bringing in Advent’s global expertise and resources. Customers can be assured that the trusted relationships, service quality, and industry leadership they have relied upon will remain, strengthened by a shared vision for driving the future of insurance technology.”
William Blair & Company, L.L.C. is the financial advisor for Sapiens, and Latham & Watkins LLP and Meitar Law Offices are the legal counsel. Meanwhile, Advent’s financial advisor is Citi, and its legal counsels are Kirkland & Ellis LLP and Herzog Fox Neeman.
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