Partners Group, a global private markets firm, announced that its portfolio company Foundation Risk Partners (FRP), a US insurance brokerage, achieved a 120 basis points EBITDA margin uplift through an AI transformation program delivered in collaboration with Version 1, another Partners Group portfolio company specializing in AI-first digital transformation.
The program, which represents $10 million in EBITDA impact for FRP, was built on FRP's clean, proprietary policy-level dataset. Version 1's AI Labs developed two agentic AI solutions: one reduces the average policy processing cycle for new clients by 94%, doubling close rates, and the other automates the human-intensive policy checking task. The first use case went from concept to production in just 14 weeks, delivered by a seven-person team augmented by Version 1.
This collaboration highlights how private equity firms can drive synergies across their portfolio companies to create tangible value. By pairing FRP's industry expertise with Version 1's AI capabilities, Partners Group turned a dataset into measurable growth, showcasing a model for AI-led value creation in the private equity sector.
Wolf Scheider, Head of Private Equity at Partners Group, emphasized the significance: "We have delivered synergies within our own portfolio to create tangible value, in this case pairing a US insurance brokerage with an AI technology partner in the UK and Ireland. Through this, we have turned a clean dataset into $10 million EBITDA uplift and real, measurable growth. We continue to look for opportunities to leverage AI expertise across our portfolio companies."
FRP, founded in 2017, has over 3,000 employees across 68 locations. Partners Group acquired both FRP and Version 1 in 2022, recognizing tailwinds in the US insurance brokerage sector and AI-first digital transformation services. Since acquisition, both companies have doubled their revenues, demonstrating strong performance.
The announcement underscores the growing importance of AI in operational improvements and the potential for private equity firms to foster collaboration among their investments to unlock value. As AI continues to reshape industries, this case serves as an example of how strategic partnerships within a portfolio can drive significant financial impact.
