Lemonade Sells Metromile’s Enterprise Business Solutions Platform to EIS
August 01 2022 - 9:39AM
Business Wire
Lemonade (NYSE: LMND), the insurance company powered by AI and
social impact, today announced the close of its divestiture of
Metromile’s Enterprise Business Solutions (EBS) to digital
insurance platform, EIS. EBS was Metromile’s SaaS claims automation
and fraud detection platform which it licensed to large insurance
carriers.
The all-cash transaction was completed following the close of
Lemonade’s acquisition of Metromile last week. Terms of the deal
were not disclosed. Keefe, Bruyette & Woods, a Stifel Company,
acted as financial advisor in connection to the transaction.
About Lemonade
Lemonade offers renters, homeowners, car, pet, and life
insurance. Powered by artificial intelligence and social impact,
Lemonade’s full stack insurance carriers in the US and the EU
replace brokers and bureaucracy with bots and machine learning,
aiming for zero paperwork and instant everything. A Certified
B-Corp, Lemonade gives unused premiums to nonprofits selected by
its community, during its annual Giveback. Lemonade is currently
available in the United States, Germany, the Netherlands, and
France, and continues to expand globally.
Follow @lemonade_inc on Twitter for updates.
FORWARD LOOKING STATEMENTS
This press release may contain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. All statements contained in this press release that do not
relate to matters of historical fact should be considered
forward-looking statements. These statements are neither promises
nor guarantees, but involve known and unknown risks, uncertainties
and other important factors that may cause our actual results,
performance or achievements to be materially different from any
future results, performance or achievements expressed or implied by
the forward-looking statements, including, but not limited to, the
following: Our history of losses and the fact that we may not
achieve or maintain profitability in the future; our ability to
retain and expand our customer base; the fact that the “Lemonade”
brand may not become as widely known as incumbents’ brands or the
brand may become tarnished; the denial of claims or our failure to
accurately and timely pay claims; our ability to attain greater
value from each user; the novelty of our business model and its
unpredictable efficacy and susceptibility to unintended
consequences; the possibility that we could be forced to modify or
eliminate our Giveback, which could undermine our business model;
the examinations and other targeted investigations by our primary
and other state insurance regulators that could result in adverse
examination findings and necessitate remedial actions; our limited
operating history; our ability to manage our growth effectively;
the impact of intense competition in the segments of the insurance
industry in which we operate on our ability to attain or increase
profitability; the unavailability of reinsurance at current levels
and prices, which could limit our ability to write new business;
our ability to renew reinsurance contracts on comparable duration
and terms to those currently in effect; our exposure to
counterparty risks as a result of reinsurance; the loss of personal
customer information, damage to our reputation and brand, or harm
to our business and operating results as a result of security
incidents or real or perceived errors, failures or bugs in our
systems, website or app; our actual or perceived failure to protect
customer information and other data, respect customers’ privacy, or
comply with data privacy and security laws and regulations; our
ability to comply with extensive insurance industry regulations and
the need to incur additional costs or devote additional resources
to comply with changes to existing regulations; our exposure to
additional regulatory requirements specific to other vertical
markets that we enter or have entered, including auto, pet and life
insurance, and the need to devote additional resources to comply
with these regulations; the ability of Lemonade to successfully
integrate Metromile’s operations, product lines and technology; the
ability of Lemonade to implement its plans, forecasts and other
expectations with respect to Metromile’s business after the
completion of the transaction and realize additional opportunities
for growth and innovation; the ability of Lemonade to realize the
anticipated synergies from the proposed transaction in the
anticipated amounts or within the anticipated timeframes or costs
expectations or at all; the ability to maintain relationships with
Lemonade’s and Metromile’s respective employees, customers, other
business partners and governmental authorities; and the other
risks, uncertainties and important factors contained and
identified; and our inability to predict the lasting impacts of
COVID-19 to our business in particular, and the global economy
generally. These and other important factors are discussed under
the caption “Risk Factors” in our Form 10-K filed with the SEC on
March 1, 2022 and in our other filings with the SEC could cause
actual results to differ materially from those indicated by the
forward-looking statements made in this press release. Any such
forward-looking statements represent management’s beliefs as of the
date of this press release. While we may elect to update such
forward-looking statements at some point in the future, we disclaim
any obligation to do so, even if subsequent events cause our views
to change.
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Lisa Horton lisa@astrskpr.com
Lemonade (NYSE:LMND)
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