HGGC Continues to Expand Davies Group with Acquisition of TLSS and Carve-Out from Randall & Quilter

Business Wire

Company Nearly Doubles Revenues One Year since Acquisition

PALO ALTO, Calif.--(BUSINESS WIRE)-- HGGC, a leading middle-market private equity firm, today announced the completion of two acquisitions by Davies Group Ltd, a tech-enabled operations management, consulting and digital solutions provider. The acquisitions of Total Loss Settlement Services Limited (TLSS) and Randall & Quilter’s Insurance Services and Captive Management operations mark the fifth and sixth strategic add-ons to the Davies Group platform since HGGC acquired the business a year ago.

TLSS is a United Kingdom-based specialist motor claims desk engineering and total loss solutions provider. The company will form part of Davies Motor within the group’s claims solutions business, adding scale and capabilities that allow the company to deliver additional value and efficiency for insurance clients. The carve-out of the Insurance Services and Captive Management operations from Randall & Quilter extends Davies’ international presence and expands the company’s offering in its Insurance Services division.

Previous acquisitions completed under HGGC’s ownership include Service Tick, Ambant, CMSL, and Cynergie. Through these acquisitions, as well as double-digit organic growth, Davies Group has nearly doubled revenues in the last 12 months and expanded its business to provide more tech-enabled services to organizations in additional highly regulated markets, including insurance, financial services, utilities, and communications, as well as to regulatory bodies.

“We knew that Davies was a great platform for growth when we acquired it,” said John Block, Principal at HGGC. “After a year of solid focus, Davies has grown into a more capable international business process outsourcer with scale and operations in the United Kingdom, Ireland, Bermuda and North America.”

With its scope of services across three distinct business lines: Claims Solutions, Insurance Services, and Customer Solutions, Davies provides a greater number of organizations with deeper and more comprehensive business insights.

“Davies’ expanded offering of resources and service capabilities allows the company to deliver end to end solutions, making them a more valuable business partner for their diverse customer base,” said Rich Lawson, CEO and Co-Founder at HGGC. “Dan Saulter and his team have done a great job of integrating these acquisitions without any interruption in providing world-class service to customers.”

“HGGC is a fantastic partner for Davies,” said Dan Saulter, Group CEO at Davies. “The team’s can-do attitude, support and insights have helped us grow and outperform in the past year. We have not only driven organic and M&A growth, but we have continued our digital transformation, commercializing our use of drones, video, and robotics; and the successful launch of our ‘Disruptive thinking’ innovation lab, placing the power of new ideas in the hands of our people.”

About Davies Group

Davies Group is a multi-award winning operations management, consulting and digital solutions provider to organisations in highly regulated markets, including insurance, financial services, utilities, communications and to regulatory bodies. Davies’ core services include: Claims solutions, Insurance services, and Customer solutions (incorporating ServiceTick and Cynergie). Davies has a 1,200-strong team of professionals across the UK, Ireland & Bermuda, with headquarters in the City of London, and command centre operations in Stoke, Colchester, Birmingham, Peterborough, Dublin and Hamilton. Beyond the core team, Davies operates a network of 3,500 high quality specialist consultants that are deployed within clients’ own operations, to execute regulatory and transformation projects. Davies is owned by HGGC and management following HGGC’s investment in January 2017. Davies’ programme of digital transformation has seen it successfully launch a range of technology-led solutions in to the insurance market, including the use of video, drones, robotics and its “Disruptive Thinking” innovation lab that places the power of new ideas in the hands of its people. Over recent years Davies has consistently delivered double-digit organic growth through a combination of growing its solutions with existing clients, and adding new partnerships to its business. In 2017 Davies added more than 60 new accounts to its organic platform. 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, and most recently the acquisition of R&Q’s insurance services businesses. More information is available at www.davies-group.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” model that enables the firm to source and acquire scalable businesses at attractive multiples 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 75 platform investments, add-on acquisitions, recapitalizations and liquidity events with an aggregate transaction value of more than $16 billion. More information is available at www.hggc.com.