Sapiens International raises $60 mn in Non-Convertible Debenture

Sapiens International Corporation, a global provider of software solutions for the insurance industry, announced that it has completed the public offering of non-convertible series B debenture and the listing thereof on the Tel-Aviv Stock Exchange, for a sum of approximately $60 million bearing an annual interest rate of 3.37%. Both institutional and private investors participated in the offering.

“We are very pleased to have completed the sale of the Series B debentures in Israel,” said Roni Al-Dor, President and CEO of Sapiens. “The issuance of such debentures reinforces the market’s confidence in our ability to utilize the proceeds from this offering properly and to repay this long-term debt in a timely manner.”

Al-Dor added, “The proceeds from these debentures will allow us to repay our existing short-term bank loan of $20M, strengthen our balance sheet and liquidity, provide us with additional working capital to support our development needs, and enable us to pursue additional M&A opportunities.”

Post completion of the transaction, Sapiens will have $120 million of available cash on its balance sheet and $120 million of non-convertible debenture spread over the next  5.5 years, with the payments scheduled for January 1st , 2021 through January 1st , 2026. 

Sapiens offers digital software platforms, solutions and services for the property & casualty, life, pension & annuity, reinsurance, financial & compliance, workers’ compensation and financial markets. The company has 35 years of experience in delivering services to over 500 organizations globally.

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