CCC Information Services Inc., Chicago, and Mitchell International, Inc., San Diego, announced the signing of an agreement under which they will combine in a merger-of-equals transaction valued at $1.4 billion. CCC and Mitchell are each privately held.

The combined enterprise, which will be known as CCC-Mitchell Inc., will be a provider of information, workflow management systems, and integrated software to insurance companies and collision repair facilities. The company's data, software, and services will support the estimating and processing of claims for auto physical damage and bodily injury. At inception, CCC-Mitchell will have annual sales of approximately $460 million and approximately 2,000 employees.

Githesh Ramamurthy, chairman and CEO of CCC, will serve as CEO of the new company. "This transaction will be a transforming event for the insurance claims and collision repair industries," says Ramamurthy. "Our customers are under increasing pressure to achieve new levels of efficiency and customer satisfaction, which requires their service providers to offer new and enhanced products, services, and solutions. CCC-Mitchell will be positioned to meet these needs as we bring together our two talented teams to create greater value for our customers and business partners through increased innovation and network connectivity."

Alex Sun, president and CEO of Mitchell, will serve as president of CCC-Mitchell. "We are pleased to have entered into this transaction with CCC, a company that shares our commitment to integrity, innovation, and providing outstanding customer service and support," he says. "This combination brings together a unique set of products and skills and an increased resource capability that will accelerate innovation, enhance our service levels, and over time, simplify the lives of our respective customers through greater connectivity and more seamless workflow between the broader portfolio of solutions offered."

Under the agreement, which was unanimously approved by the boards of directors of both companies, Mitchell and CCC will merge in a stock-for-stock exchange. Ownership and board seats will be held equally by Aurora Capital Group, the private equity sponsor of Mitchell, and Investcorp, the private equity sponsor of CCC.

CCC-Mitchell will operate from multiple locations while maintaining a significant presence in both San Diego and Chicago. Completion of the transaction is expected to occur immediately following completion of regulatory review and satisfaction of customary closing conditions.

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CCC, Mitchell Merger Focuses on Customer Value

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