Wipro acquires insurtech firm Aggne in $66 million deal

Indian IT major Wipro has acquired insurance technology firm Aggne Global and its affiliate company in a $66 million deal, the company announced this week. 

US-based Aggne Global offers digital solutions to insurers in the property and casualty (P&C) insurance space.

The transaction is expected to be completed on Wednesday, Wipro informed the Indian exchanges in a filing on Tuesday.

Wipro will acquire 60% of the stake in all-cash deals and with an option to acquire the remaining stake over the period, it said.

With this acquisition, Wipro is expanding its footprint by acquiring unique capabilities and intellectual property (IP) in the P&C insurance space. 

On the other hand, Aggne will be accessing Wipro’s global scale, deep technical capabilities, and investments in artificial intelligence. Thus, it will be able to innovate faster, expand its capabilities, and build new ones in alignment with evolving industry needs.

India’s fourth-largest information technology service company, Wipro has nearly 240,000 employees and business partners across 65 countries. 

Founded in 2019, Aggne is incorporated in the United States and India, with offices in Tampa, Florida, and Hyderabad, and is a recipient of the Duck Creek Technologies 2023 Americas Value Creation Partner of the Year award. 

The insurance tech company has shown more than four times growth in its revenue. In calendar year 2023, the company reported revenue of $17.9 million, up from $4.5 million two years ago.

The firm offers diverse P&C solutions, enabling insurers to boost their efficiencies and deliver optimal customer experience. Its services include IP-led consulting, implementation, and managed services on the full suite of cloud-based Duck Green platforms. 

This low-code product enables P&C insurers to fast-track their product development with an option to integrate innovation.

Harpreet Arora, senior vice president and global head of banking, financial services, and insurance domain and consulting at Wipro, said, “Aggne’s innovative, IP-driven consulting capabilities in the insurance space and premier partnership status on the Duck Creek platform stand out in the marketplace.” 

Arora added that combined with Wipro’s domain expertise, these capabilities will allow Wipro to bring clients an end-to-end offering that will help them drive competitive advantage and customer loyalty.

Asha Kalidindi, co-founder and chief executive officer (CEO) of Aggne, said, “Joining forces with Wipro will allow us to reach a larger and global set of clients and deepen our presence in the insurance sector. Further, Wipro’s commitment to talent development will provide our employees with new growth opportunities.” She added.

Mike Jackowski, CEO of Duck Creek Technologies, said, “This investment by Wipro brings together the best in two leading firms and will help drive innovation to the insurance industry through the deployment of leading SaaS-based solutions.”