Funds advised by Apax Partners complete purchase of majority stake in Duck Creek Technologies from Accenture
2 August 2016
Accenture maintains 40 percent ownership of Duck Creek; Accenture and Duck Creek will collaborate on development of Internet of Things, Big Data analytics, other emerging digital technologies for insurers
NEW YORK and LONDON; August 2, 2016 – Funds advised by Apax Partners have completed the acquisition of a majority stake in Duck Creek Technologies from Accenture (NYSE: ACN). As part of the agreement, which was originally announced on April 18, Apax and Accenture have formed a joint venture in which Apax funds hold a 60 percent stake in Duck Creek Technologies, and Accenture retains a 40 percent stake. Duck Creek will leverage new access to capital to accelerate development and expansion of property and casualty (P&C) insurance technologies.
Funds advised by Apax completed their acquisition of a majority stake in Duck Creek Technologies concurrent to completing its acquisition of Agencyport, announced June 1. Agencyport, a leader in digital distribution technologies connecting P&C insurers with their agents and brokers, will be an integral part of Duck Creek Technologies.
“This marks the beginning of an important new period of insurance technology development,” said Jason Wright, a partner at Apax. “You will see game-changing innovations in the insurance sector, as we provide growing investment support to the distinguished management team of this innovative joint venture with Accenture.”
As part of the agreement, Accenture will collaborate with Duck Creek to enable insurers to take advantage of the Internet of Things, Big Data analytics and other emerging technologies. Accenture is also a Platinum Premier delivery partner for Duck Creek, and Duck Creek is a preferred technology partner for P&C insurance. All of Duck Creek’s senior management team and approximately 1,000 insurance software and technology personnel from Accenture have transferred to the new company.
“As new and revolutionary digital technologies emerge, insurers will be pressed to modernize their core systems in order to support a new generation of services and capabilities,” said John Cusano, senior managing director of Accenture’s insurance practice. “Carriers that master both sides of this technology equation will be well positioned to compete in the future. The combination of our Duck Creek joint venture and our strong forward focus on digital technologies and services offers our clients differentiated capabilities that can enable market advantage.”
Michael A. Jackowski, chief executive officer of Duck Creek Technologies, said: “We have opened the door to important new opportunities for growth and development as a joint venture and independent company. Our relationship to Apax provides new access to investment capital, and our continued close relationship with Accenture provides continuity of the digital capabilities and services that are important to many of our clients.”
About Apax Partners LLP
Apax Partners LLP is a leading global private equity advisory firm. Over its more than 30-year history, Apax Partners has raised and advised funds with aggregate commitments in excess of $45 billion*. Funds advised by Apax Partners invest in companies across four global sectors of Tech and Telco, Services, Health Care and Consumer. These funds provide long-term equity financing to build and strengthen world-class companies. For further information about Apax Partners, please visit www.apax.com.
Apax funds have been one of the most active private equity investors in the software sector, having invested over $2.5 billion in equity since 2008. Apax’s deep sector expertise and global resources have helped accelerate organic and inorganic growth within its software portfolio and have enabled geographic expansion. Current and past software investments include Epicor, Activant, TriZetto (sold to Cognizant), Aptos, Exact, Paradigm, Sophos (London: SOPH) and RealPage (NASDAQ: RP). For further information about Apax Partners, please visit www.apax.com.
* Funds raised since 1981, commitments converted from fund currency to USD at FX rates as at June 30, 2016.
Accenture is a leading global professional services company, providing a broad range of services and solutions in strategy, consulting, digital, technology and operations. Combining unmatched experience and specialized skills across more than 40 industries and all business functions – underpinned by the world’s largest delivery network – Accenture works at the intersection of business and technology to help clients improve their performance and create sustainable value for their stakeholders. With approximately 373,000 people serving clients in more than 120 countries, Accenture drives innovation to improve the way the world works and lives. Visit us at www.accenture.com.
About Duck Creek Technologies
Duck Creek Technologies LLC, an Accenture company, is a leading provider of comprehensive P&C insurance software and services delivered on-premise or via Duck Creek On-Demand, a Software as a Service model. The wholly owned subsidiary of Accenture delivers configurable software that is designed to work independently or as a combined approach to quickly and seamlessly handle the unique needs of insurers of all sizes. Our technology solutions enable clients to optimize outcomes through streamlined operations, shared data, and consistent functionality. For more information, visitwww.duckcreek.com.
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as a result of the company’s geographically diverse operations and its growth strategy to continue geographic expansion, the company is more susceptible to certain risks; adverse changes to the company’s relationships with key alliance partners or in the business of its key alliance partners could adversely affect the company’s results of operations; the company’s services or solutions could infringe upon the intellectual property rights of others or the company might lose its ability to utilize the intellectual property of others; if the company is unable to protect its intellectual property rights from unauthorized use or infringement by third parties, its business could be adversely affected; the company’s ability to attract and retain business and employees may depend on its reputation in the marketplace; if the company is unable to manage the organizational challenges associated with its size, the company might be unable to achieve its business objectives; any changes to the estimates and assumptions that the company makes in connection with the preparation of its consolidated financial statements could adversely affect its financial results; 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