Source: wefox
wefox has successfully secured funding of EUR 151 million. This consisted of a EUR 76 million capital raise primarily from its existing investor base as well as refinancing of an existing credit facility with EUR 75 million from Searchlight Capital Partners’ credit fund, Searchlight Opportunities Fund II.
The new funding will enable wefox to build out its strong market positions in Austria, the Netherlands, and Switzerland and to develop its asset-light Managing General Agent (MGA) and smart insurance distribution businesses internationally. In Austria, wefox offers the most advanced digital platform for retail insurance brokers in the local market that has allowed it to become the leading wholesale broker. In the Netherlands, wefox is the #1 player in the Dutch term-life market under the TAF brand, providing award-winning customer propositions with its full-service MGA model. In Switzerland, wefox is a top-ranked player in retail insurance distribution, continuously expanding its customer offering to provide holistic risk advice for individuals. By further strengthening its partnerships with insurance companies and by scaling its local distribution platforms, wefox is positioned for sustainable revenue growth and margin expansion in its current markets and beyond.
Joachim Müller, CEO of wefox Holding AG, commented: “Changing customer needs, new regulatory requirements, and new technological capabilities are transforming the insurance value chain. Our strengths and our focus on MGA and smart distribution services make us an attractive partner for risk carriers and downstream brokers. We believe that our compelling offering and our smart, asset-light business model will create value for our customers, our business partners and our investors. I would like to express my gratitude to my team and all employees who have contributed to our successful transformation, as well as our investors for their continued trust and support. I would also like to thank the outgoing board members for their support and collaboration, and I look forward to working with Prateek on the board.”
Read the full article: https://www.wefox.com/press/wefox-successfully-secures-eur-151m-funding-to-support-new-strategy-with-focus-on-mga-business-and-smart-insurance-distribution
