Davies acquires SCM Insurance Services – its largest deal ever
Davies, London-headquartered professional services firm focusing on the insurance industry, has agreed to acquire SCM Insurance Services, an Edmonton-headquartered claims processing and risk solutions provider.
Founded in 1986, SCM has 1,500 professionals across Canada and the US. The firm’s three operating businesses are ClaimsPro, its claims adjusting firm; IPG, its third-party claims administrator; and Pario, its forensic engineering and consulting business.
Pario (formerly Rochon) was acquired in 2014. The Concord, ON-based firm has over 100 people and provides forensic engineering services for areas including fire, electrical failure, mechanical failure, and structural failure, as well as environmental services in assessments and forensic investigations.
The SCM deal will lift the annual revenue of Davies to $1.4 billion and its headcount to 9,500 employees across 22 countries.
The largest acquisition in its history, the addition of SCM will strengthen Davies’ existing risk management and claims solution offerings in North America and allow it to provide full nationwide service in Canada.
SCM’s institutional shareholders – Warburg Pincus and TorQuest Partners – will reinvest part of their proceeds into Davies and become minority shareholders.
Davies is owned by BC Partners, which acquired a majority stake in August 2021.
“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,” said Dan Saulter, CEO of Davies.
Davies works with over 1,700 insurance, financial services, public sector, and other highly regulated organizations.
The firm has practices in claims management, forensic accounting, technology, insurance and risk, and consulting. The firm’s consulting practice has offerings in specialist operations, financial crime and regulatory compliance, organizational performance, and customer experience, among other areas.
“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,” said Bob Fitzgerald, CEO of SCM Insurance Services.
