Insurance software provider Accelerant to be taken private for $4.4B

Specialty insurance provider Accelerant Holdings Inc. has agreed to be taken private by Thoma Bravo for $4.4 billion, valuing the company at $20.25 per share – a 49% premium to its last unaffected stock price. The software company caters to high-value insurance categories, including art, aircraft, and data centers, which aren't typically covered by standard policies.

Instead of selling policies directly to customers, insurers rely on intermediaries called managing general agents (MGAs) to offer specialty insurance. Accelerant operates a cloud platform connecting MGAs with insurers, providing access to capital for underwriting policies through five-year agreements. The MGAs using Accelerant's platform submit policy data, which the software cleans, enriches, and presents as dashboards for insurers to optimize business operations.

Accelerant's platform also incorporates AI features to automate tasks, identify risky policies, and optimize policy prices. As of today's announcement, Accelerant serves 314 MGAs and insurers worldwide, processing 1.2 million records monthly. The acquisition of Accelerant by Thoma Bravo is expected to close in the first half of 2027, with the private equity firm paying an annual fee equivalent to 6% of the acquisition price if regulatory approval delays occur.

CEO Jeff Radke believes the combination of Accelerant's data-driven platform and Thoma Bravo's resources will position the software to become the industry standard for specialty insurance.