CCG IQ and Donan announce merger
The newly combined entity hopes to become the “market leader in analytical claims services across the insurance industry.”
On Monday, December 20, 2021, CCG IQ, a provider of solutions that enable better insurance and claims decisions, and forensic engineering and investigation firm Donan announced they have agreed to combine. The transaction was officially closed on December 16.
According to a press release, they will partner with leading investment firm New Mountain Capital, which manages over $35 billion in assets. Carousel Capital, which has backed CCG IQ since 2017, will remain a significant minority investor in the merged company.
“We are thrilled to partner with CCG IQ and embark on the next stage of growth,” Lyle Donan, President and Chief Executive Officer of Donan, who will serve as Executive Chairman and Chief Growth Officer of the combined entity, said in the press release. “The CCG IQ suite of brands, including HVACi and StrikeCheck, is highly complementary with Donan’s engineering expertise. We look forward to working with the CCG IQ team to combine the great networks we have established, while maintaining the best of legacy cultures at both Donan and CCG IQ.”
“The ability to combine our leading technology platform with Donan’s forensic expertise will allow for even faster, more efficient service for our customers. This is an exhilarating time for both firms, and we are excited to work with New Mountain, Lyle and the team at Donan. We look forward to this partnership and the strategic benefits it will provide our employees and customers,” Damon Stafford stated in the release. Stafford, who is CCG IQ’s Chief Executive and founder, will serve as CEO of the combined entity.
In the press release, they shared that the merged company will handle over 100,000 technical claims reviews annually and serve all 20 top property and casualty insurance companies in the United States. Together, they have over 200 licensed professional engineers, 100 fire investigators, more than 1,000 HVAC technicians and over 2,000 electrical equipment technicians.
Deloitte Corporate Finance LLC served as exclusive financial advisor to Donan on the transaction, and Waller Helms Advisors served as financial advisor to New Mountain.