Ebix and Data Glove Technologies Sign Strategic Outsourcing and Joint Venture Agreement to Offer Cloud and Infrastructure Support Services to the Insurance, Banking and Healthcare Industries

Rhea-AI Summary

Ebix, Inc. (NASDAQ: EBIX) has entered a strategic agreement with Data Glove Technologies to enhance cloud and infrastructure support services for the insurance and banking sectors. This collaboration will involve the establishment of joint ventures in the US and India, targeting various global markets. Ebix anticipates generating over $10 million in revenue from this initiative in 2021. The partnership aims to transform legacy back-office systems into cloud-based solutions, delivering significant efficiencies and cost savings to clients across the BFSI sectors.

Positive

• Anticipated revenue of over $10 million from the partnership in 2021.
• Joint ventures in the US and India expected to target expansive global markets.

Negative

• None.

JOHNS CREEK, Ga., Nov. 30, 2020 (GLOBE NEWSWIRE) -- Ebix, Inc. (NASDAQ: EBIX), a leading international supplier of On-Demand software and E-commerce services to the insurance, financial, healthcare and e-learning industries today announced a strategic agreement with Data Glove Technologies, a New Jersey based firm specializing in Infrastructure, Managed Services and Cloud Services. The agreement entails various facets including outsourcing of certain back office functions and strategic joint ventures (JV) to provide cloud and infrastructure support services to the Insurance, Banking and Healthcare marketplace.

The Companies announced the setting up of two joint ventures in the US and India to target the cloud and infrastructure support areas in the BFSI industry in both geographies. The JV in the US will target the US and Candian markets while another JV set up in India will service the Asia Pacific, Africa, Europe and ASEAN Regions. The joint ventures will focus on providing Infrastrucuture Assessment including Cloud Readiness, Cloud Migration, Development Services (Dev Ops), and Maintenance Services for both Public and Private Cloud solutions.

Robin Raina, Chairman, CEO, and President of Ebix said, “The combination of Ebix and Data Glove in the field of cloud computing and infrastructure support is compelling. Data Glove’s deep and proven expertise in the Cloud space, combined with Ebix’s footprint of software products in the insurance and financial industries provides us with a unique combination that none of the other cloud and infrastructure support companies have. This initiative aligns well with our desire to continue to invest in our core insurance businesses in North America. I expect $10+million of revenues, from this arrangement in 2021.”

Rahul Bajaj, EVP, Global Revenue & New Growth Initiatives, Data Glove said “We are very excited about this win-win partnership with Ebix. Data Glove has been growing organically at 30%+levels annually. In Ebix, we found a Company who has made deep inroads in the insurance and financial industries, while powering billions of dollars of domain rich on-demand transactions annually.”

Rajiv Korpal, EVP, Global Sales and Services, Data Glove said “This JV will have a simple goal: to provide transformative solutions that deliver exceptional outcomes. The combined blend of industry domain expertise and cloud & infrastructure support expertise positions us together as a powerful force, to win large strategic deals in these industries.”

Ash Sawhney, President, Insurance Solutions North America said, “This is a significant addition to our repertoire of offerings in North America, and a very timely one. Establishing a Cloud strategy and developing a roadmap is a key priority for most of our clients, which include hundreds of top tier insurance companies, healthcare companies, banks, and large distributors. The insurance and financial industries continue to be supported by legacy backoffice systems which are hard and expensive to maintain. Our goal is to create a roadmap to migrate those legacy applications to the Cloud thereby bringing enormous efficiencies and cost savings to our customers.”

About Ebix, Inc.

With 50+ offices across 6 continents, Ebix, Inc., (NASDAQ: EBIX) endeavors to provide On-Demand software and E-commerce services to the insurance, financial, healthcare and e-learning industries. In the Insurance sector, Ebix’s main focus is to develop and deploy a wide variety of insurance and reinsurance exchanges on an on-demand basis, while also providing Software-as-a-Service ("SaaS") enterprise solutions globally in the area of CRM, front-end & back-end systems, outsourced administration and risk compliance services.

With a "Phygital” strategy that combines 320,000 physical distribution outlets in many Southeast Asian Nations (“ASEAN”) countries, to an Omni-channel online digital platform, the Company’s EbixCash Financial exchange portfolio encompasses leadership in the areas of domestic & international money remittance, foreign exchange (Forex), travel, pre-paid & gift cards, utility payments, and lending, wealth and asset management solutions and services in India and other markets. EbixCash’s Forex operations have emerged as a leader in India’s airport Foreign Exchange business, with operations in 32 international airports, including Delhi, Mumbai, Bangalore, Hyderabad, Chennai and Kolkata. These Forex operations conduct over $4.8 billion in gross transaction value per year. EbixCash’s inward remittance business in India conducts approximately $5 billion gross in annual remittance business, confirming its undisputed leadership position in India. EbixCash, through its travel portfolio of Via and Mercury, is also one of Southeast Asia’s leading travel exchanges, with over 2,200+ employees, a 212,450+ agent network, 25 branches and over 9,800 corporate clients. The EbixCash travel business processes an estimated $2.5 billion in gross merchandise value per year. EbixCash’s technology services Division has emerged as a leader in the areas of lending technology, asset & wealth management technology, and travel technology in India and has grown its international expanse to Europe, Middle East, Africa and other ASEAN countries.

Through its various SaaS-based software platforms, Ebix employs thousands of domain-specific technology professionals to provide products, support and consultancy to thousands of customers on six continents. For more information, visit the Company’s website at www.ebix.com

About Data Glove Inc.

With a staff of 600+ employees across 9 international locations, Data Glove is a leading, fast growing global provider of Business Transformation Services with a focus across four core services: Digital Transformation, Workplace Transformation, Application Transformation and Intelligent Automation. The Company’s focus is on delivering industry-specific services across banking, financial services & insurance, retail, public sector hospitality and telecom to support growth and continuous digital transformation journeys.

Data Glove empowers BFSI clients to grow revenue, improve customer engagement, manage risk and streamline processes for efficiency, while remaining competitive and innovative. For more information, visit the Company’s website at www.dataglove.com

CONTACT:

Darren Joseph
678-281-2027 or IR@ebix.com

David Collins or Chris Eddy
Catalyst Global - 212-924-9800 or ebix@catalyst-ir.com 

FAQ

What is the new partnership between Ebix and Data Glove Technologies about?

The partnership focuses on cloud and infrastructure support services for the insurance and banking sectors through strategic joint ventures.

What revenue does Ebix expect from the Data Glove partnership in 2021?

Ebix expects to generate over $10 million in revenue from the collaboration in 2021.

Where will the joint ventures between Ebix and Data Glove be established?

Joint ventures will be established in both the US and India.

What industries will benefit from the Ebix and Data Glove partnership?

The insurance, banking, and healthcare industries will benefit from this partnership.