Chicago, IL – September 17, 2014
Flexpoint Ford, LLC (“Flexpoint”), a private equity firm focused on the financial services and healthcare sectors, today announced a definitive agreement to sell T&H Global Holdings, LLC and its subsidiaries (“VeriClaim”) to Sedgwick Claims Management Services, Inc. (“Sedgwick”). The primary investors of Sedgwick are affiliates of Kohlberg Kravis Roberts & Co. L.P. and Stone Point Capital LLC. VeriClaim has been majority owned by affiliates of Flexpoint since March 2011.
T&H Global Holdings, LLC, through its subsidiaries VeriClaim, Inc., VRS VeriClaim U.K. Ltd, Unified Investigations & Sciences, Inc., Cramer, Johnson, Wiggins & Associates, Inc., (CJW) and Ellis May, is a premier provider of specialized insurance claims services to insurance carriers, insurance brokers, corporations and public entities. The company leverages its specialized domain expertise, experienced professional staff, and process knowledge to provide its clients loss adjusting, third-party claims management and fire and forensics investigation services. The company was founded in 1918 and is headquartered in Naperville, Illinois.
Mike Arbour, Chief Executive Officer of VeriClaim, said, “We are excited to partner with Sedgwick to build the global leader in specialized insurance claims services. Flexpoint’s expertise in the insurance sector and strategic advice have been integral in growing VeriClaim into a market leading platform. Additionally, Flexpoint has been a valuable financial partner that has supported VeriClaim through multiple strategic acquisitions.”
Chris Ackerman, a Managing Director of Flexpoint, commented, “VeriClaim’s focus on providing exceptional claims services to a global customer base is unmatched in the insurance services industry and has allowed the company to extend its market leadership. By achieving strong organic growth and executing a successful acquisition strategy, the management team has delivered an excellent return for our investors and exceeded our high expectations. We are confident that VeriClaim will continue to be the preeminent platform in specialized insurance claims services and that the partnership with Sedgwick will position the combined company for significant growth.”
The transaction is expected to close within the next 60 days, subject to customary regulatory approvals. Following the transaction, VeriClaim will operate as a subsidiary of Sedgwick.
Kirkland & Ellis LLP served as legal advisor to Flexpoint Ford, LLC. Simpson Thacher & Bartlett LLP served as legal advisor to Sedgwick.
T&H Global Holdings, LLC, through its operating subsidiaries VeriClaim, Inc., VRS VeriClaim U.K. Ltd, Unified Investigations & Sciences, Inc., Cramer, Johnson, Wiggins & Associates, Inc. (CJW) and Ellis May, is a premier provider of specialized insurance claims services to insurance carriers, insurance brokers, corporations and public entities. The company leverages its specialized domain expertise, experienced professionals and process knowledge to provide its clients loss adjusting, third-party claims management and fire and forensics investigation services. VeriClaim serves a blue-chip global client base that includes leading insurance underwriters, brokers and Fortune 500 companies. The company was founded in 1918 and is headquartered in Naperville, IL.
Sedgwick Claims Management Services, Inc. is the leading North American provider of technology-enabled claims and productivity management solutions. Sedgwick and its affiliated companies deliver cost-effective claims, productivity, managed care, risk consulting and other services to clients through the expertise of more than 11,000 colleagues in some 200 offices located in the U.S. and Canada. The company specializes in workers’ compensation; disability, FMLA, and other employee absence; managed care; general, automobile, and professional liability; warranty and credit card claims services; fraud and investigation; structured settlements; and Medicare compliance solutions. Sedgwick and its affiliates design and implement customized programs based on proven practices and advanced technology that exceed client expectations. Sedgwick’s major investors are KKR and Stone Point Capital LLC. For more information, please visit www.sedgwick.com.
Founded in 1976 and led by Henry Kravis and George Roberts, KKR is a leading global investment firm with $90.2 billion in assets under management as of September 30, 2013. With offices around the world, KKR manages assets through a variety of investment funds and accounts covering multiple asset classes. KKR seeks to create value by bringing operational expertise to its portfolio companies and through active oversight and monitoring of its investments. KKR complements its investment expertise and strengthens interactions with investors through its client relationships and capital markets platform. KKR is publicly traded on the New York Stock Exchange (NYSE: KKR) and “KKR,” as used in this release, includes its subsidiaries, their managed investment funds and accounts, and/or their affiliated investment vehicles, as appropriate. For more information, please visit www.kkr.com.
Stone Point Capital is a global private equity firm based in Greenwich, Conn. Stone Point serves as the manager of the Trident Funds, which have raised more than $10 billion to make investments in businesses within the financial services industry, including insurance, banking, employee benefit, asset management and other financial services companies. For more information, please visit www.stonepoint.com.