BharCap Partners, a Greenwich, Connecticut-based investment firm focused on the financial services sector, announced the closing of the acquisition of Insurvia, an insurance services holding company with subsidiaries focused on providing non-standard auto insurance and services to an underserved population through franchise and company-owned models. Essentially, Insurvia distributes insurance policies for over 50 insurance companies that result in customers receiving the most cost-effective options for appropriate coverage. The financial terms of the deal were undisclosed.
Insurvia goes to market via Fiesta Insurance and La Familia Insurance, both focused on serving the needs of the growing Hispanic market in the United States. Fiesta is a leading retail franchisor of insurance products and other financial services, with 60 franchisees operating over 220 retail stores across eight states and a growing e-commerce platform.
La Familia is an independent insurance agency that distributes insurance and related products through 70 company-owned retail stores across Texas. These brands utilize a customer-service-focused culture, broad carrier panel, and bi-lingual omnichannel presence to provide their underserved customer base with access to required auto insurance products.
Under Gemspring’s ownership, Insurvia has grown through acquisition and drove organic growth across new and existing store locations. It has also developed an omnichannel sales model spanning retail stores, call centers, and online and introduced new products to serve its customers’ needs.
Robert W. Baird & Co. served as financial advisor and McDermott Will & Emery LLP served as legal counsel to Insurvia and Gemspring. Skadden, Arps, Slate, Meagher & Flom LLP, and Kirkland & Ellis LLP acted as legal advisors to BharCap. McDermott Will & Emery LLP also acted as legal advisor to Insurvia and selling shareholders. Robert W. Baird & Co. and William Blair served as Insurvia and selling shareholder’s financial advisors.
KEY QUOTES:
“We are proud of the growth we have achieved to date and our ability to increase access to necessary insurance products for our customers. Gemspring has been an excellent partner to Insurvia and has helped us accelerate growth while improving our operations. We look forward to driving continued growth with the Bharcap team as Insurvia begins its next chapter.”
– Insurvia CEO Danish Charanya
“It’s been a privilege to partner with the Insurvia team to help meet the needs of its customers and drive a strategy focused on growth, product innovation, and value creation. Insurvia provides substantial value to its customers, carrier partners, franchisees, and employees. We are excited for the future growth and continued success of the company.”
– Alex Shakibnia, Managing Director at Gemspring
“Danish Charanya and his team have built a leading insurance distribution platform focused on a vast and underserved auto insurance market with multiple proven levers for future growth. This transaction fits one of BharCap’s key themes of investing in insurance distribution businesses given its recurring, fee-based business model driven by state-mandated insurance laws.”
– BharCap Co-Founding Partner Ethan Wang
“Insurvia provides an attractive value proposition to our consumers, insurance carriers and franchisees through our scale, access to hard-to-reach customers, competitive rates and specialized customer service. We are excited about the opportunity to partner with BharCap to continue growing our platform.”
– Danish Charanya, CEO of Insurvia
