Pittsburgh Glass Works (PGW) plans to sell its Insurance and Services Division (I&S), which includes LYNX Services, GTS and Glaxis, along with other information technology services to Solera Holdings (NYSE SLH) of Westlake, TX.
Solera will purchase 100% of the operating entities and other assets that comprise I&S’ business for approximately $280 million. The entire purchase price will be paid in cash. For the twelve months ended March 31, 2014, I&S’ revenue and adjusted EBITDA were $58.8 million and $19.7 million, respectively, according to a release by Solera.
“The structure of the Acquisition will result in a 15-year tax benefit to Solera with an estimated present value of approximately $69 million. After adjusting for the estimated value of the tax benefit, the purchase price represents a multiple of 10.7x I&S’ adjusted EBITDA.”
Solera provides software and services to the automobile insurance claims processing and other decision support industries. Solera is active in over 65 countries across six continents. The Solera companies include: Audatex in the United States, Canada, and in more than 45 additional countries; Informex in Belgium and Greece; Sidexa in France; ABZ and Market Scan in the Netherlands; HPI and CarWeb in the United Kingdom; Hollander serving the North American recycling market; AUTOonline providing salvage disposition in a number of European and Latin American countries; among others. The company offer some products that compete with Mitchell International.
Solera president Tony Aquila served as president of Mitchell International in the early 2000s before founding Solera.
For more info about the deal, click here.
For more info about Solera, click here.
For a recent profile of Tony Aquila, click here
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My company is small, we opened 2 years ago and have grown to a 3 technician store. Starting off I believed the critics that Safelite was the bad guy. I have since realized that because we do good work Safelite solutions gives us work every day. I am sure it is the leftovers that need to be done soon and they can not get to, but that is fine by me. Lynx on the other hand does not give us work ever, we may get a couple agent referrals a month but Lynx itself has given us 3 jobs in 2 years. In my opinion if Lynx runs the same way they have been I hope they do not get any new insurance companies (I prefer SS gets more). If they give the work to the closest participating shop they will have my praise. If they actually assign someone to take a look at participating shops and see how poor some installers are doing work and eliminate them from being a participant, they will have my extreme praise. Safelite at least tries to make sure there techs are trained and representing there company well. A lot of bigger name companies get all kinds of Lynx work where I am and there guys are un trained hacks in cut off shirts with Mohawk’s. If Lynx participants needed to be registered with the AGRSS, and the AGRSS made sure that every locations installers were doing a good job and Lynx in turn would give the work to the nearest participant, then Lynx would be a trustworthy heavy hitter. Otherwise if I owned a insurance company I would let S.S. handle the claims.
Who cares, lynx is dying slowly but surely. All i want to know is, how am I going to spend thousands of dollars with PGW and not be a preferred installer? BUT safelite is a preferred shop. Which I was told safelite hasn’t been buying much PGW glass within the last year. I get it, its all about who wines n dines the executives, but c’mon..Hopefully things will change..
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