Steel Card

The Company

Headquartered in Santa Barbara, California, Steel Card LLC designs and implements next-generation Web-based, end-to-end software for the property and casualty insurance industry. The company’s award-winning software includes capabilities that span the policy administration life cycle, such as rating, rules, forms, Internet quoting, Internet purchasing, and full policy processing for all personal lines. The software’s module-based system enables multiple distribution channels and product lines to leverage one common back-end platform – providing customers with self-service functionality and sales agents with critical selling tools, while reducing insurance carriers’ overall costs.

The Situation

The Company was seeking a strategic buyer with an established sales channel that could market the Web-based solution to a broader range of property and casualty insurance carriers.  The founding members were interested in remaining with the company post-closing and were focused on identifying a buyer that shared their vision for growth.

The Transaction

Steel Card LLC retained KPMG Corporate Finance as its exclusive adviser in the strategic sale. KPMG Corporate Finance conducted a competitive sale process to identify strategic acquirers that would appropriately value the technology platform.  KPMG Corporate Finance developed significant buyer interest, coordinated management meetings, and ultimately negotiated a transaction with Insurity, Inc., a subsidiary of ChoicePoint Inc. NYSE:CPS.  Throughout the sale process, KPMG Corporate Finance advised Steel Card on all aspects of the deal, including purchaser identification, strategic positioning, deal pricing, and structuring issues.  KPMG Corporate Finance’s knowledge of the industry, strong relationships with strategic buyers, and the ability to manage multi-party negotiations were fundamental to the consummation of the transaction.