Bregal Sagemount and FTV Capital, two leading growth-focused private equity firms, have announced a strategic growth investment in Neptune Flood Incorporated.
Both Sagemount and FTV will acquire a substantial minority stake in the firm, with Neptune CEO and management maintaining majority ownership. Financial terms of the transaction were not disclosed.
Launched in 2018 and based in St. Petersburg, Florida, Neptune provides affordable and value-added flood insurance policies to over 150,000 homeowners, renters, and businesses in 48 states and Washington, D.C.
Moreover, the company’s proprietary AI platform, Triton, possesses the ability to instantly assess flood risk on a property-by-property basis, which therefore allows Neptune to provide an accurate assessment of risk, personalize pricing for customers, and offer competitive premiums.
Trevor Burgess, President & CEO of Neptune, commented:“We are thrilled to be partnering with Sagemount and FTV as we continue to build our business and achieve our mission of making flood insurance more accessible, helping customers better protect their homes and businesses from the devastating effects of flooding.”
He continued: “Both Sagemount and FTV have established track records of insurtech growth investments and expertise in scaling technology-enabled businesses, something that set them apart from other investors we saw in the market and made them the ideal partners for our next phase of growth.”
Blair Greenberg, Partner at Sagemount, said: “Sagemount has been investing in and following the insurance and MGA markets for several years and we are incredibly impressed by the innovative technology that Neptune has built. The Company has truly disrupted the traditional flood insurance market and we are excited to support them as they continue to bring their insurtech solution to more customers.”
Mike Vostrizansky, Partner at FTV, added: “We are excited to support Neptune as they continue to transform the way that homeowners and businesses purchase flood insurance – increasing consumer awareness and adoption. Neptune’s visionary management team has built a differentiated technology platform that we believe has positioned the company for expansive growth in the years ahead, and we welcome the opportunity to leverage our domain expertise and strategic relationships in our Global Partner Network® to contribute to the company’s growth journey.”
Further, Sagemount and FTV’s investment in Neptune will help enable the firm to accelerate its growth plans and also expand its customer base while continuing to enhance its technology platform and develop new products to meet the evolving needs of homeowners and businesses.
With this growth investment, both Greenberg and Vostrizansky will join Neptune’s board of directors.
Morgan Stanley & Co. LLC served as exclusive financial advisor to Neptune. Howden Tiger Capital Markets & Advisory acted as financial advisor to Bregal Sagemount and FTV.
