Guidewire to buy hyperexponential for $1.7B cash in AI underwriting push

The base price is $1.7B in cash, subject to adjustments, with up to $400M in extra consideration tied to specified recurring revenue targets. Guidewire expects the purchase to add at least 650 basis points to its fiscal 2027 ARR growth on an inorganic basis. The London company sells agentic underwriting software to commercial property and casualty insurers and says its platform has handled more than $75B in annual premium. Backers include Andreessen Horowitz and Battery Ventures, and PitchBook data cited by TechCrunch puts total funding near $90M. Guidewire says the deal will bring AI agents into underwriting, analysis and pricing work alongside human staff. Revenue was not disclosed, so the figure below is an estimate. For founders, the price shows that vertical AI agents tied to a regulated workflow can draw strategic buyers at high multiples. Investors in such companies should also watch how contingent payments tie the final price to later revenue performance.