Wauwatosa-based Zywave Inc., a provider of insurance and financial planning software solutions, announced it has signed a definitive agreement to sell its Insurance Solutions Division to Aurora Capital Group, a Los Angeles-based private equity firm.
Vista Equity Partners,a U.S.-based private equity firm with offices in San Francisco, Chicago and Austin, will retain ownership of Zywave’s Financial Solutions Division. The transaction is expected to close in the next 30 days. Financial terms of the transaction were not disclosed.
Recognizing the strong value and legacy of its brand in the insurance brokerage marketplace, Zywave has agreed to sell its brand name with the transaction. After closing, Zywave’s Insurance Solutions Division will simply be known as Zywave Inc.
Zywave’s current Financial Solutions Division will continue under the ownership of Vista, but will take on a new name, Advicent Solutions, to emphasize its focus on the financial planning and advisory market.
The leadership teams for both Zywave’s Insurance Solutions Division and Advicent will remain in their respective roles. The headquarters for each company will also remain in Wauwatosa.
Commenting on Aurora’s investment in Zywave, Bill Haack, Zywave’s chief executive officer, said, “Each business is very well served by a strong management team, an impressive group of employees, and each continues to see tremendous opportunities for growth. We’ve had a great run with Vista as our partner and investor over the past five years, more than doubling our Insurance Solutions revenue, customer base and employment. Aurora has an excellent track record of helping companies like ours to reach their full potential, and I feel fortunate to have them as a partner for our Insurance Solutions business.”
Josh Klinefelter, partner of Aurora, said, “Zywave is well known for its innovative approach to marketing and retention solutions, and fits squarely within our strategy to invest in insurance services businesses with significant growth potential. We have been impressed with the company’s performance over the last several years and look forward to working with Zywave’s management team to build on this momentum. Together, we will leverage Aurora’s resources and capabilities to support the company’s continued growth and expansion through the development and acquisition of leading technology-enabled solutions for the insurance brokerage marketplace.”