Mastek acquires insurance-focused IT company in the US

Mumbai, July 16 (UNI) Mastek, a leading IT solutions player today announced the acquisition of Vector Insurance Services LLC (Vector), a technology solutions provider and third party administrator that focuses on the North American life and Annuity insurance industry.

Under the terms of the agreement, Mastek's wholly-owned US subsidiary MajescoMastek will hold 90 per cent equity stake in Vector. The consideration for this acquisition will be paid partly in cash and partly by way of future cash earnouts.

Vector provides policy acquisition, administration, and processing solutions to customers in the North American life insurance industry. Among its customers are two of America 's largest insurance carriers that have chosen Vector as their service provider of choice. The company had revenues of USD 4.2 million in its financial year ended 31 December 2006. The company has 26 employees, with significant domain expertise in the insurance space.

Addressing the media, William McCarter, President of Mastek's US operations said, ''This acquisition reinforces our solutions-driven offerings in the high opportunity US insurance market.

''Vector fits very well with our overall strategy to be a leader in providing end-to-end IT solutions within the insurance vertical.

Our companies share many synergies in domain expertise, delivery capabilities, and processes that were desirable to us,'' he added.

UNI