Advent explores sale of car insurance software vendor CCC
Advent International is exploring a sale of CCC Intelligent Solutions Holdings Inc, a provider of software to the car insurance industry that has a market value of $7.1 billion, people familiar with the matter said on Friday.
Investment bank Morgan Stanley is advising CCC on its talks with potential acquirers, which include other buyout firms, the sources said, adding that no deal is certain.
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CCC shares jumped on the news in afterhours trading in New York on Friday, rising 8.6% to $12.50.
Founded in 1980, CCC provides software to 35,0000 companies involved in automotive claims and collision repair, including insurance firms, parts suppliers and car manufacturers.
Advent, which acquired CCC from private equity firms TPG Inc and Leonard Green & Partners in 2017, took CCC public through a merger with a blank-check company in 2021 at a $6.5 billion equity valuation.
CCC shares have risen 32% year-to-date, more than the broader market but less than the S&P 500 software application index, which has risen 43%. CCC suffered from a drop in car insurance claims during the COVID-19 pandemic but has since seen business gradually recover.
CCC reported total revenue of $211.7 million
