Guidewire said it will acquire Hyperexponential, a U.K.-based agentic underwriting company, for $1.7 billion in cash. The total transaction value is about $2 billion, with an extra $400 million tied to revenue targets. The deal is expected to close next year, and Hyperexponential's software is used by nearly 600 insurers in 40 countries.
Insurance technology company Guidewire said Tuesday it will acquire Hyperexponential, an agentic underwriting company, for $1.7 billion in cash.
The deal is expected to close next year. Guidewire says the purchase will help bring AI agents into insurance work, where they will operate alongside human staff to underwrite, analyze and price decisions.
How much is Guidewire paying for Hyperexponential?
The total value of the transaction is around $2 billion. The extra $400 million is reserved for payment if Hyperexponential hits certain revenue targets.
What does Hyperexponential do?
Hyperexponential is based in the U.K. and calls itself an AI company. It was founded in 2017 and has raised nearly $90 million to date, according to PitchBook. That makes the sale a significant return for its investors, who include Andreessen Horowitz and Battery Ventures.
Which insurers use Hyperexponential's software?
The company says nearly 600 insurers in 40 countries use its software. Those customers give Guidewire a large base of insurance carriers to work with once the deal closes.
This article was written with the assistance of AI.
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