(Photo by Daniel Ahlqvist.)
FAST (Flexible Architecture and Simplified Technology, Edison, N.J.), a provider of core insurance software and consulting services for the life insurance industry, designed as an alternative to large packaged software, has secured funding from Moelis Capital Partners (MCP, New York). FAST will add members of the middle-market capital fund to its board but the company will retain autonomy. Terms of the investment were not disclosed.
“We appreciate how much confidence our investors, MCP, have in our vision for the business,” comments John Gorman, COO, FAST. “They believe, as we do, that we FAST can serve our insurance carrier customers in a very unique and valuable way.”
“We are very excited to be FAST’s partner and to help management execute on numerous exciting growth initiatives,” comments Joel Killion, a Partner at MCP. “With the most innovative core life insurance software platform in the marketplace, we believe the company is ideally positioned to continue capitalizing on the software modernization trend within the insurance industry.”
Killion and other MCP representatives, including Managing Partner Kurt Larsen and Operating Partner Ned Stringham, will join the FAST’s board of directors alongside the vendor’s executives CEO Tom Famularo, John Gorman and Mike Roe, an investor in and long-time strategic adviser to the company.
MCPs objectives for FAST are consistent with the direction of the company envisioned by CEO Tom Famularo. “I believe our customers will be well-served by this relationship, as MCP is a strong capital partner with significant resources and insights that will accelerate our maturity as an organization,” he says. “We remain focused on our vision of providing transformative technology that enables true innovation for life and annuity companies.”
Sherman & Company LLC served as FAST’s financial adviser on the transaction and Chiesa Shahinian & Giantomasi PC provided legal advice to the company. Lowenstein Sandler LLP acted as legal counsel to MCP, while Celent assisted with industry due diligence.
“We were pleased to assist Moelis Capital Partners in their analysis of the market for policy administration systems,” comments Tom Scales, Research Director, Celent. “Insurers are under pressure to respond to the digital age and are being held back by their legacy state. FAST is recognized as one of the technology leaders in the US marketplace, and is well-positioned to capture growth as insurers look to acquire more agile technology solutions.”
FAST characterizes its offering as the first truly component-based software solution for life insurers. The vendor’s capabilities include policy administration, new business, underwriting, distribution management and claims processing.