Partners Group AI Collaboration Yields $10M EBITDA Boost for Portfolio Company

Partners Group, a global private markets firm, has announced a significant achievement in AI-driven value creation within its portfolio. The firm successfully drove a 120 basis points (bps) EBITDA margin uplift at Foundation Risk Partners (FRP), a US insurance brokerage, through an AI transformation program delivered in collaboration with Version 1, another Partners Group portfolio company. This initiative generated USD 10 million in EBITDA impact for FRP, demonstrating the tangible benefits of leveraging expertise across the portfolio.

Foundation Risk Partners, founded in 2017, has grown to over 3,000 employees across 68 locations. The company built a clean, proprietary policy-level dataset, which served as the foundation for the AI program. Version 1's AI Labs developed two agentic AI solutions: one reduces the average policy processing cycle for new clients by 94%, leading to a doubling in close rates, and the other automates the human-intensive policy checking task. The program was delivered by a seven-person team augmented by Version 1, with the first use case moving from concept to production in just 14 weeks.

Partners Group acquired both FRP and Version 1 in 2022, recognizing the growth potential in the US insurance brokerage sector and the AI-first digital transformation services market in the UK and Ireland. Since the acquisitions, both companies have doubled their respective revenues, underscoring the success of the investments. Wolf Scheider, Head of Private Equity at Partners Group, highlighted the importance of collaboration: '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 USD 10 million EBITDA uplift and real, measurable growth. We continue to look for opportunities to leverage AI expertise across our portfolio companies.'

This achievement highlights the broader implications for the private equity industry, where operational improvements and technological innovation are increasingly key to value creation. By fostering collaboration between portfolio companies, Partners Group is setting a precedent for how AI can be harnessed to drive efficiency and growth. The success at FRP also underscores the importance of data quality and the potential of AI to transform traditional industries like insurance.

For Texas businesses, this news is particularly relevant as it showcases the benefits of integrating AI into operations, a trend that is likely to influence companies across the state. The ability to reduce processing times and improve close rates can lead to significant competitive advantages in any sector. As Partners Group continues to explore AI opportunities across its portfolio, the lessons learned from this collaboration could serve as a model for other organizations looking to implement similar strategies.

The program's success also demonstrates the value of strategic partnerships and the potential for cross-border collaboration. With Partners Group's primary presence in the Americas, including Colorado, this initiative reflects a broader trend of leveraging international expertise to drive local impact. For more information about Partners Group and its initiatives, visit Partners Group's website or follow them on LinkedIn.