Roper Agrees to Acquire iPipeline, a Key Life and Annuity Distribtech Provider

Roper Technologies Inc. — a big, publicly traded technology company — has agreed to acquire Internet Pipeline Inc., one of the major suppliers of life insurance and annuity distribution software and technology services. Internet Pipeline, which does business as iPipeline, announced the deal today. (Related: U.S. Life Software Firm Acquires U.K. Administration Module Maker) IPipeline said it expects to keep its name, its brands, and its headquarters offices, in Exton, Pennsylvania. IPipeline has helped to develop the data pipes and data management systems that make the life and annuity markets work. The company says its platform is used by about 150 carriers, and by 1,350 distributors and financial institutions.

People

IPipeline announced that Tim Wallace, who has been the distribtech company's chief executive officer since 2011, will become a strategic advisor. Larry Berran, who has been working for iPipeline since 2002, and serving as the president and chief operating officer since 2008, will become iPipeline's CEO, iPipeline CEO. Credit Suisse served as exclusive financial advisor to iPipeline. Kirkland & Ellis LLP and Lauletta Birnbaum LLP served as legal advisors to iPipeline and Thoma Bravo.

Deal Details

IPipeline said it expects the Roper deal to close by Sept. 30. IPipeline and Roper have not said how much Roper expects to pay for iPipeline.

Control

IPipeline was founded by Bill Atlee and is now controlled by Thoma Bravo, the same Chicago-based private equity firm that recently agreed to buy J.D. Power.

IPipeline's Own Acquisitions

The list of insurtech companies IPipeline has acquired over the years include:

• COSS Development Corp., a developer of systems for putting insurance forms and illustrations on the Web.
• AgencyWorks LLC, a developer of digital life agency management tools.
• Resonant, a life insurance technology underwriting company.
• TCP LifeSystems, a company in Bromley, England, that develops administration systems for life, annuity and pension plan companies.

Reasons

Roper is an old-line company with headquarters offices in Sarasota, Florida, and roots in appliance manufacturing. For more Roper Technologies details, see the data cards in the slideshow above. Roper has been trying to reduce its reliance on manufacturing by acquiring technology services companies. Neil Hunn, Roper's CEO, said in a statement that the iPipeline deal demonstrates Roper's commitment to a disciplined strategy for acquiring high-quality businesses." "We are excited to add another industry-leading, cloud software business to our family," Hunn said. — Read 3 Life Sales Innovation Mysteries That Drive Actuaries Wild, on ThinkAdvisor. — Connect with ThinkAdvisor Life/Health on Facebook, LinkedIn and Twitter.