Sapiens signs $5.2m software contract with insurance co Menorah

Sapiens signs $5.2m software contract with insurance co Menorah

Globes, Guy Hadass, 17 Nov 03 17:41

Software house Sapiens International NV (Nasdaq: SPNS; TASESPNS) announced today that it had signed one of its largest-ever contracts, with Menorah Holdings (TASE:MORA1; MORA5). Sapiens will supply an estimated $5.2 million worth of software to Menorah over 18 months. Sapiens will carry out the project under its strategic partnership with IBM (NYSE:IBM), which will supply some of the integration work for the software. IBM will receive a third of the project's revenue, so Sapiens' net revenue will amount to $3.5 million.

Sapiens will supply Menorah with an Internet-based life, pension, health insurance and financial management system that will be a customized portal for agents and integrate disparate systems. "This is the most complete and comprehensive systes in Israel. It takes into account all the new Supervisor of Insurance regulations," said Sapiens president and CEO Yitzhak Sharir.

Sharir attaches great importance to the contract, both because of its large size and because this is Sapiens first collaboration with IBM in Israel. IBM and Sapiens have already collaborated on projects in the US and UK, and the two companies are about to sign an agreement to collaborate in France and Germany. "I believe that we'll install the software at other Israeli insurance companies," said Sharir. "We're now negotiating with all of Israel's insurance companies."

Published by Globes [online] - www.globes.co.il - on November 17, 2003