Align Capital Partners (ACP) has acquired Advantage Investigations, a provider of insurance investigative services, from MD Holdings.
Advantage Investigations’ services are used by national and regional insurance carriers, third-party administrators (TPAs), law firms, and self-insured corporations across 45 states to verify claims, mitigate fraud, and manage financial risk. The company’s offerings include surveillance, background investigations, and social media research. Advantage deploys surveillance teams to gather visual evidence for claim verification, while its background research provides insight into claimants’ histories.
Through its social media intelligence service, Advantage detects inconsistencies in reported injuries or events by analyzing public digital footprints. Headquartered in Charlotte, North Carolina, Advantage has more than 300 employees and was founded in 1998 by CEO Shelly Kummings.
“At Advantage Investigations, we have focused on matching the industry’s growth and evolving needs with innovation, collaboration and a relentless focus on results for our clients,” said Ms. Kummings.
MD Holdings acquired a majority interest in Advantage in August 2019. During its ownership, the company invested more than $1 million to upgrade legacy IT systems, resulting in $400,000 in annual processing cost savings, and completed four acquisitions that increased company revenue by more than 50%.
The outsourced insurance investigative services market continues to expand at a steady pace, supported by structural pressures across the claims cycle. Business Research Insights projects global spending to rise from $681 million in 2025 to about $1.3 billion by 2034, a compound annual growth rate of roughly 7.65%. This growth reflects the ongoing rise in fraud exposure, the increasing technical complexity of claims, and tighter regulatory expectations that push carriers to rely more heavily on specialized third-party investigative firms for surveillance, verification, and case-level documentation.
“We are impressed with the company’s use of technology and AI to date and are eager to continue supporting Advantage’s innovative blueprint,” said Matt Iodice, a partner at Align Capital Partners. “The powerful combination of technology, operational rigor and a talented team make Advantage the right platform for continued M&A and market expansion.”
Align Capital Partners typically invests between $20 million and $60 million in North American-based companies with EBITDA ranging from $3 million to $15 million and enterprise values of up to $150 million. Its sectors of focus include software and tech-enabled services, professional business services, industrial services, specialty manufacturing, and specialty distribution. In November 2022, ACP closed its third fund, Align Capital Partners Fund III LP, above its target with $620 million in capital commitments. The firm has offices in Dallas and Cleveland.
MD Holdings makes control investments in U.S.-headquartered business-to-business companies operating across a wide range of sectors with EBITDA of $1.5 million to $5 million. Typical investment targets are asset-light, generate recurring revenue, and maintain gross margins above 40%. MD Holdings is headquartered near Dallas in Richardson, Texas.
“At Advantage Investigations, we have focused on matching the industry’s growth and evolving needs with innovation, collaboration and a relentless focus on results for our clients,” said Ms. Kummings.
“We are impressed with the company’s use of technology and AI to date and are eager to continue supporting Advantage’s innovative blueprint,” said Matt Iodice, a partner at Align Capital Partners. “The powerful combination of technology, operational rigor and a talented team make Advantage the right platform for continued M&A and market expansion.”
