Sapiens to Acquire APAC Automation Provider Candela to Expand Life Insurance Tech
Sapiens International, an Israel-based insurtech firm, has announced its agreement to acquire Candela, a provider of intelligent automation services to insurance companies in the Asia-Pacific (APAC) region, for $22 million in cash. This strategic acquisition aims to enhance Sapiens' suite of life insurance products and expand its presence in key APAC markets including Singapore, Malaysia, Thailand, Hong Kong, and South Africa. The transaction is expected to close in the second quarter of 2025 after satisfying customary closing conditions. Candela recorded non-GAAP revenues of $8 million in 2024 and employs over 100 staff, predominantly in Bangalore, India.
Candela operates under Azentio, based in Singapore, and provides an end-to-end insurance automation platform along with digital services that support its 23 clients in the APAC region. Post-acquisition, Candela's business process modeling and case management technologies will be integrated into Sapiens' insurance platform with a focus on life insurance. This integration aims to replace legacy external systems with standardized digital processes, potentially improving operational efficiencies for insurers using the platform.
Sapiens expects the acquisition to be profit accretive beginning in the fourth quarter of 2025. This move follows the recent update by Sapiens to its automated underwriting and new business case management system catered to life and annuities insurers, signaling continued investment in solutions that support insurers' digital transformation efforts.
The acquisition reflects broader industry trends towards intelligent automation and process standardization to enhance efficiency within the insurance lifecycle. It also demonstrates Sapiens' strategic focus on growth in the APAC insurance technology market, leveraging Candela's expertise and regional footprint. The deal will enable Sapiens to offer a more comprehensive product proposition, combining automation capabilities with its existing software suite to better support payer and provider digital workflows.
Overall, this acquisition positions Sapiens to strengthen its competitive edge in APAC's dynamic insurance sector by integrating complementary technologies and expanding its client base. Insurance professionals should monitor how this merger influences product innovation, regulatory compliance, and market consolidation trends in the APAC insurance technology space.