Applied Systems Acquisition of Tarmika

Transaction Overview

On 8/16/22, Applied Systems, Inc. (“Applied”) announced its acquisition of Tarmika, Inc. (“Tarmika”)

  • Terms of the transaction were not disclosed

Tarmika is a single-entry solution designed to streamline the commercial lines quoting process for agents

  • Founded in 2018 to build technology that enables carriers and agents to expand distribution channels, gain new business, and provide an enhanced customer experience
  • Recently launched a growing embedded insurance product focused on small commercial insurance
  • Currently works with over 1,000 leading independent agencies and over 30 insurance carriers

Applied is a leading global provider of cloud-based software that powers the business of insurance

  • One of the world’s largest providers of agency and brokerage management systems
  • Serves customers throughout the United States, Canada, Ireland, and the United Kingdom
  • Hellman & Friedman has been Applied’s majority shareholder since 2014
    • Alongside minority shareholders Stone Point Capital, JMI Equity, and CapitalG

Transaction will expand Applied’s commercial quoting and Ivans’ distribution connectivity solutions

  • Strategic acquisition to expand portfolio of commercial lines quoting and distribution technologies
    • Driving greater connectivity between independent agencies, carriers, and insureds
  • Will create a more valuable and digital distribution experience at each stage of the insurance lifecycle

TigerRisk Capital Markets & Advisory Role

TCMA acted as exclusive financial advisor to Tarmika; key roles and responsibilities included:

  • Led a targeted sale process focused on most likely strategic acquirors
  • Created marketing materials and financial packages shared with potential buyers
  • Managed an organized due diligence process
  • Offered insights around and assisted in the negotiation of transaction terms and conditions
  • Provided objective advice and acted as a confidant to Tarmika throughout the process