Davies, the leading specialist professional services and technology company serving insurance and highly regulated markets today announced it has signed an agreement to acquire SCM Insurance Services (“SCM”), Canada’s largest claims processing and risk solutions provider.

The deal will see SCM’s three operating businesses; ClaimsPro, Canada’s leading claims adjusting firm; IPG, its third-party claims administrator; and Pario, its forensic engineering and consulting business and post-loss appraisal, all join the Davies global platform. Following the deal, Davies will have annual revenues of c.$1.4bn, with a combined team of 9,500 colleagues operating in 22 countries across Europe, North America, South America, Asia, and Australasia.

The deal represents Davies’ largest strategic M&A addition to date and will allow the fast-growing tech-enabled firm to provide a full nationwide service across Canada, in addition to adding SCM’s U.S. operations to Davies’ existing U.S. footprint. SCM’s 1,500+ strong team of professionals across Canada and the U.S. will join Davies as part of the deal.

The addition of ClaimsPro, IPG, and Pario will strengthen Davies’ existing risk management, TPA and end-to-end claims solutions offering across North America, adding specialized services for insurers, brokers, MGAs, Lloyd’s Syndicates, corporates, the public sector and captive owners.

As part of the acquisition, SCM’s existing institutional shareholders, Warburg Pincus and TorQuest Partners, will reinvest part of their proceeds and become minority shareholders in Davies, alongside Davies’ existing institutional shareholders: BC Partners, AIMCo, and HGGC. BC Partners took a majority stake in Davies in August 2021, with the business tripling annual revenues under BC’s ownership.

Dan Saulter, Group Chief Executive Officer, Davies said: “We are thrilled to have gotten this deal signed, bringing the SCM team into Davies.  The business is very highly regarded in Canada, and as market leader, this puts us in the #1 spot in this growing and vibrant market. The deal will allow us to unlock significant growth opportunities, on both sides of the ledger; with SCM clients benefiting from our global reach and wider service offering; and with Davies clients being able to access the best claims and risk solutions teams in Canada. I look forward to working with CEO, Bob Fitzgerald, and the whole team.”

Bob Fitzgerald, Chief Executive Officer, SCM Insurance Services said: “This is a fantastic opportunity for all the SCM Insurance Services brands. Our clients will now have access to Davies’ global solutions, immediately elevating our technology, AI and platform offering. I am very much looking forward to working with Dan at this exciting time.”

Earlier this year, Davies announced that it is significantly increasing its multi-million-dollar investment into technology and AI, integrating agentic AI features and upgrading its ClaimPilot product suite to benefit its 2,000+ insurance clients around the globe. Technology and AI investment is one of four pillars in the firm’s “Vision 2030” strategy that also sees Davies focus on; Organic growth & cross-selling; Geographic & solution expansion; and Operational excellence at the firm. The fast-growing tech-enabled services provider is aiming for $3.5bn+ in annual revenues by 2030.