Robert F. Smith's Vista seals $2.6 billion acquisition of Duck Creek

Vista Equity Partners, a global technology investment firm led by America’s richest Black billionaire Robert F. Smith has finalized the purchase of Duck Creek Technologies, an innovative provider of intelligent solutions for the property and casualty (P&C) insurance industry, for $2.6 billion.

The acquisition, an all-cash transaction that values each share of Duck Creek at $19, represents a 46 percent premium to the company’s closing stock price on Jan. 6, 2023, the last full trading day prior to the announcement of Vista Equity’s definitive agreement to acquire the firm.

Since its inception in 2000, Vista Equity Partners has quickly grown into an industry leader and one of the most active private equity investors in the technology sector, with more than $95 billion in assets and a yearly return of 22 percent.

Vista Equity, led by its founder Robert Smith for the past 23 years, remains at the forefront of the technology investment industry by leveraging its cash reserves and the recent dip in tech firms’ valuations to acquire stakes in businesses with significant economic potential.

Regarding its acquisition of Duck Creek Technologies, Monti Saroya, Senior Managing Director and Co-Head of Vista’s Flagship Fund, praised the company’s demonstrated leadership in the property and casualty insurance space, citing its innovative solutions that empower carriers to efficiently meet the digital needs of their customers.

“Duck Creek is a demonstrated leader in the P&C space, delivering innovative solutions that empower carriers to be faster and more nimble in servicing the digital needs of their customers,” Saroya said.

Jeff Wilson, Managing Director at Vista, expressed his enthusiasm for welcoming Duck Creek to the Vista ecosystem, emphasizing that the combination of Duck Creek’s commitment to excellence and innovation with Vista’s expertise in driving sustainable growth will propel the business to new heights while delivering transformative solutions for carriers.

Following the completion of the all-cash transaction, Duck Creek Technologies is now a valued addition to Vista Equity’s robust technology investment portfolio, and its shares have ceased trading and are no longer listed on the Nasdaq Global Select Market.

As Duck Creek continues to expand and shape the future of property and casualty insurance technology, the company has established partnerships with leading carriers across the globe, including Berkshire Hathaway Specialty Insurance, Hollard Insurance, Northbridge Financial Corporation, and Tokio Marine.