Guidewire agrees to buy hyperexponential for up to $2.1B

Guidewire Software agreed to acquire London-based hyperexponential, which makes AI-powered underwriting and pricing software for commercial property and casualty insurers, for $1.7 billion in cash plus up to $400 million tied to recurring-revenue targets. Guidewire plans to finance the deal with $1 billion in new loans from Bank of America and Citibank and cash on hand; the acquisition is expected to close in the second quarter of fiscal 2027. The companies say combining hyperexponential’s pricing tools with Guidewire’s insurance systems could help insurers assess risk and price policies faster, with AI agents assisting human underwriters. Guidewire expects the transaction to boost fiscal 2027 annual recurring revenue growth and says it will update its full-year outlook in December.