Davies, the leading specialist professional services and technology company serving insurance and highly regulated markets today announced it has signed an agreement to acquire SCM Insurance Services (“SCM”), Canada’s largest claims processing and risk solutions provider.
The deal will see SCM’s three operating businesses; ClaimsPro, Canada’s leading claims adjusting firm; IPG, its third-party claims administrator; and Pario, its forensic engineering and consulting business and post-loss appraisal, all join the Davies global platform. Following the deal, Davies will have annual revenues of c.$1.4bn, with a combined team of 9,500 colleagues operating in 22 countries across Europe, North America, South America, Asia, and Australasia.
The deal represents Davies’ largest strategic M&A addition to date and will allow the fast-growing tech-enabled firm to provide a full nationwide service across Canada, in addition to adding SCM’s U.S. operations to Davies’ existing U.S. footprint. SCM’s 1,500+ strong team of professionals across Canada and the U.S. will join Davies as part of the deal.
The addition of ClaimsPro, IPG, and Pario will strengthen Davies’ existing risk management, TPA and end-to-end claims solutions offering across North America, adding specialized services for insurers, brokers, MGAs, Lloyd’s Syndicates, corporates, the public sector and captive owners.
As part of the acquisition, SCM’s existing institutional shareholders, Warburg Pincus and TorQuest Partners, will reinvest part of their proceeds and become minority shareholders in Davies, alongside Davies’ existing institutional shareholders: BC Partners, AIMCo, and HGGC. BC Partners took a majority stake in Davies in August 2021, with the business tripling annual revenues under BC’s ownership.
Dan Saulter, Group Chief Executive Officer, Davies said: “We are thrilled to have gotten this deal signed, bringing the SCM team into Davies. The business is very highly regarded in Canada, and as market leader, this puts us in the #1 spot in this growing and vibrant market. The deal will allow us to unlock significant growth opportunities, on both sides of the ledger; with SCM clients benefiting from our global reach and wider service offering; and with Davies clients being able to access the best claims and risk solutions teams in Canada. I look forward to working with CEO, Bob Fitzgerald, and the whole team.”
Bob Fitzgerald, Chief Executive Officer, SCM Insurance Services said: “This is a fantastic opportunity for all the SCM Insurance Services brands. Our clients will now have access to Davies’ global solutions, immediately elevating our technology, AI and platform offering. I am very much looking forward to working with Dan at this exciting time.”
Earlier this year, Davies announced that it is significantly increasing its multi-million-dollar investment into technology and AI, integrating agentic AI features and upgrading its ClaimPilot product suite to benefit its 2,000+ insurance clients around the globe. Technology and AI investment is one of four pillars in the firm’s “Vision 2030” strategy that also sees Davies focus on; Organic growth & cross-selling; Geographic & solution expansion; and Operational excellence at the firm. The fast-growing tech-enabled services provider is aiming for $3.5bn+ in annual revenues by 2030.
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Media contact:
Louisa Best, Senior PR Manager, Davies
Email: louisa.best@davies-group.com
About Davies
Davies delivers specialist professional services and technology solutions across the risk and insurance value chain, including excellence in claims, underwriting, distribution, regulation & risk, forensic accounting, customer experience, human capital, digital transformation & change management. In February 2023 Davies announced it had simplified its operations and aligned the business across three operating units: Davies Global Solutions, Davies UK & Ireland, and Davies U.S. Davies has a 9,500 strong team of professionals operating across 20+ countries, including the UK & the U.S., with headquarters in the City of London. Davies’ investors are BC Partners, HGGC, AIMCo (acting on behalf of certain of its clients), and Davies’ employees following BC Partners majority investment in March 2021, HGGC’s investment in January 2017 and AIMCo’s investment in January 2019. Over the past ten years Davies has grown its annual revenues more than 25-fold, invested heavily in research & development, innovation & artificial intelligence (“AI”), platform integration & underlying business systems, colleague development, and client service. Today the group serves more than 2,000 insurance, financial services, public sector, and other highly regulated clients. In the past year Davies has added more than 200 new accounts to its organic platform. In addition, Davies has successfully broadened and deepened its operations and digital capabilities via targeted acquisitions. Since the start of 2017 Davies has acquired: Cynergie, CMSL, Ambant, ServiceTick, TLSS, R&Q’s insurance services business, Ember, Direct Group’s claims businesses, Veriphy, USA Risk Group, TMS, GBB, Banwells, Frontier, FWD, ASC, Thornton Group, Keoghs, Codebase8, Citadel & Cedar Consulting, ContactParners, TriPlus, Johnson Claim Service, Vehicle Replacement Group, BMTS, Wakely Actuarial, Northshore International Insurance Services, DMS, NPA, Littleton, Grovelands, IAS, Asta, IRS, Sionic, Merlinos, BVS, Worksmart, ProAdjust, Johns Eastern, ClaimPilot, MVP Group, Afirm, Ortac Underwriting Agency’s (“Ortac”) insurance management services portfolio, American Claims Management, Preferred Governmental Claims Services, USIS, ICA, MDD, Shoreside Law, Minuteman Adjusters, Bespoke Training Solutions, Budget Claims Services Inc., (dba Barker Claim Services), Premier Claims Management and SCM Insurance Services. More information is available at www.davies-group.com.
About BC Partners
BC Partners is a leading investment firm with circa €40 billion in assets under management across private equity, private debt, and real estate strategies. Established in 1986, BC Partners has played an active role for nearly four decades in developing the European buyout market. Today BC Partners’ integrated transatlantic investment teams work from offices in Europe and North America and are aligned across our four core sectors: TMT, Healthcare, Services & Industrials, and Food. Since its foundation, BC Partners has completed over 130 private equity investments and is currently investing its eleventh private equity buyout fund.
For further information, please visit https://www.bcpartners.com/
About HGGC
HGGC is a leading middle-market private equity firm with $4.3 billion in cumulative capital commitments. Based in Palo Alto, Calif., HGGC is distinguished by its Advantaged Investing approach that enables the firm to source and acquire scalable businesses through partnerships with management teams, founders and sponsors who reinvest alongside HGGC, creating a strong alignment of interests. Over its history, HGGC has completed more than 130 platform investments, add-on acquisitions, recapitalizations and liquidity events with an aggregate transaction value of nearly $22 billion. More information, including a complete list of current and former portfolio companies is available at www.hggc.com.
About Alberta Investment Management Corporation (AIMCo)
AIMCo is one of Canada’s largest and most diversified institutional investment managers with more than C$179.6 billion of assets under management as at December 31, 2024. AIMCo invests globally on behalf of pension, endowment, insurance, and government funds in the Province of Alberta. With offices in Edmonton, Calgary, Toronto, London, and Luxembourg, our more than 200 investment professionals bring deep expertise in a range of sectors, geographies, and industries. For more information on AIMCo please visit www.aimco.ca and follow us on LinkedIn.
About Warburg Pincus
Warburg Pincus LLC is the pioneer of global growth investing. A private partnership since 1966, the firm has the flexibility and experience to focus on helping investors and management teams achieve enduring success across market cycles. Today, the firm has more than $85 billion in assets under management, and more than 215 companies in their active portfolio, diversified across stages, sectors, and geographies. Warburg Pincus has invested in more than 1,000 companies across its private equity, real estate, and capital solutions strategies.
The firm is headquartered in New York with offices in Amsterdam, Beijing, Berlin, Hong Kong, Houston, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo, Shanghai, and Singapore. For more information, please visit www.warburgpincus.com or follow us on LinkedIn.
About TorQuest Partners
Founded in 2002, TorQuest Partners is a Canadian-based manager of private equity funds. With more than C$5.0 billion of equity capital under management, TorQuest is currently investing from TorQuest Partners Fund VI, a C$2.3 billion fund that held its final closing in December 2023. TorQuest invests in middle market companies and works in close partnership with management to build value. To learn more about TorQuest, please visit www.torquest.com.
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