SAN FRANCISCO, Dec. 23, 2011 /PRNewswire/ -- Genstar Capital, LLC, a middle market private equity firm that focuses on investments in selected segments of the insurance and financial services, software, life sciences, healthcare, and industrial technology industries, in partnership with several senior IAS executives, today announced the acquisition of Innovative Aftermarket Systems ("IAS" or the "Company"), a premier marketer, administrator and underwriter of vehicle protection products and related services sold through franchised automobile dealers.
Headquartered in Austin, TX, IAS offers a comprehensive portfolio of finance and insurance products and services including anti-theft protection, tire and wheel coverage, windshield repair and replacement, key replacement, paintless dent repair and appearance protection systems. IAS also offers guaranteed asset protection (GAP) that pays the difference between the actual cash value and loan balance of an automobile if a customer's vehicle is stolen or totaled in a collision. The Company's products are offered predominantly through a network of independent agents to automobile dealers in 49 states. In addition, IAS offers its dealers one of the leading technology platforms in the industry. For additional information about IAS, visit its website at www.iasdirect.com.
Ryan Clark, Managing Director at Genstar, said, "We are excited to be partnering with Bob Corbin and the entire IAS management team. Over the past 30 years, IAS has become one of the nation's leading vehicle protection product and services providers and, through its focus on customer service and product quality, has built lasting relationships with hundreds of independent agents and thousands of automobile dealerships. Genstar's focus in the insurance sector is to target companies like IAS that focus on a niche segment of the market, and we believe IAS has a distinct advantage through its existing distribution channel and underwriting capabilities. Looking ahead, dealerships increasingly seeking to enhance their business through the sale of ancillary products will rely even more on IAS as an important partner and source of added revenue."
Eli Weiss, Vice President at Genstar, added, "We are excited to be partnering with IAS management to expand on IAS' leading quality underwriting and customer service to drive growth both organically and through acquisitions. The management team's long-term commitment to its customers and partners was very compelling to us."
Bob Corbin, President and CEO of IAS, is a seasoned auto industry executive with 30 years of experience in the automotive industry, and under his leadership the Company has seen tremendous growth. He has served as President of IAS since 2002 and Chief Executive Officer since 2009 and will continue to lead the Company as CEO. "We are very pleased with our progress and growth and look forward to working with our new partners at Genstar whose experience will provide an added source of creativity, financial capacity and executive network to help IAS continue its growth trajectory."
IAS will continue its successful association with Assurant Solutions under its five year underwriting agreement.
Macquarie Capital acted as financial advisor to IAS in the transaction. Ropes & Gray LLP provided legal counsel to Genstar on the transaction.