Mastek Expands Into P&C Vertical With Purchase of STG

Mastek, an IT solutions provider with global operations, announced the acquisition of Systems Task Group (STG) International Ltd, an IP-based enterprise solutions provider to the North American property/casualty insurance industry. This acquisition is the second such initiative by Mastek during the current financial year and follows the acquisition of Vector Insurance Services in July 2007. Under the terms of the agreement, Mastek’s wholly owned U.S. subsidiary MajescoMastek will hold 100 percent equity stake in STG. The consideration for this acquisition will be paid partly in cash and partly by way of future cash earn outs. Following this transaction, STG will operate as STGMastek. STG leverages its enterprise applications Renaissance suite and ParadigmASP to provide solutions and services to customers in the North American P&C insurance industry in the areas of policy and billing administration, claims processing, and point-of-sales administration. The company has about 350 employees with significant P&C insurance domain expertise and a customer base that includes more than 35 small and midsize American insurance carriers.”This acquisition is another important step in furthering our strategy to expand our presence in both the life and non-life segments of the high opportunity U.S. insurance market,” says Sudhakar Ram, chairman of Mastek. “STG enjoys very strong brand recognition and has over the years built a satisfied customer base in the P&C insurance industry.”