blog shake image

KippsDeSanto & Co. advises Entegra Systems Inc. on its sale to Acclaim Technical Services, LLC, a portfolio company of Blue Delta Capital Partners

/in /by

KippsDeSanto & Co. advises Entegra Systems Inc. on its sale to Acclaim Technical Services, LLC, a portfolio company of Blue Delta Capital Partners

KippsDeSanto & Co. is pleased to announce the sale of its client, Entegra Systems Inc. (“Entegra” or the “Company”), to Acclaim Technical Services, LLC (“ATS”), a portfolio company of Blue Delta Capital Partners.

Headquartered in Hanover, MD, Entegra is a leading provider of vital mission support and technology development enabling strategic and tactical intelligence missions across the Intelligence Community (“IC”) and Department of Defense (“DoD”).  The Company serves as a key partner in advancing and responding to its customers’ critical requirements, helping its customers conduct informed operations, and providing end-to-end mission support and sustainment throughout the entire mission lifecycle.

Supported by a cadre of highly cleared and technical subject matter experts, the Company delivers high-end capabilities to strategic and tactical intelligence missions, including intelligence analysis, collection support, software development, and reverse engineering, to support a myriad of national security requirements around Human Intelligence (“HUMINT”), hardware exploitation, Signals Intelligence (“SIGINT”) and SIGINT discovery, Geospatial Intelligence (“GEOINT”), and defensive and offensive cybersecurity, further entrenching Entegra as a go-to partner within a well-funded and highly coveted customer set, positioning the Company for future growth.

The transaction furthers ATS’ strategic efforts to position ATS as a leading-edge technology provider within the broader IC.  Entegra gives ATS scale to pursue several transformational prime opportunities that will further allow ATS to address national security challenges.

We believe this investment demonstrates several key trends in the current government technology solutions M&A environment:

  • Intelligence-driven, high-end mission support and cybersecurity capabilities remain key M&A priority areas for buyers
  • Significant demand for deeply embedded, long-standing intelligence and defense relationships aligned with favorable budgetary funding
  • Strong demand for highly cleared and technical talent with legacies supporting classified programs
  • Buyers and investors remain focused on building leading growth platforms through add-on acquisitions, seeking to unlock value, accelerate growth, and scale the delivery model

About KippsDeSanto & Co. KippsDeSanto & Co. is an investment banking firm focused on serving growth-oriented Aerospace / Defense, Government Services and Technology companies. We are focused on delivering exceptional M&A and Financing transaction results to our clients via leveraging our scale, creativity and industry experience. We help market leaders realize their full strategic value. Having advised on over 140 industry transactions since 2007, KippsDeSanto is recognized for our analytical rigor, market insight, and broad industry relationships. There’s no substitute for experience.  For more information, visit www.kippsdesanto.com. There’s no substitute for experience.  For more information, visit www.kippsdesanto.com.

Investment Banking products and services are offered through KippsDeSanto & Co., a non-bank subsidiary of Capital One, N.A., a wholly-owned subsidiary of Capital One Financial Corporation, and a member of FINRA and SIPC. Products and services are Not FDIC insured, Not Bank Guaranteed, May Lose Value, Not a Deposit, and Not Insured by Any Federal Government Agency.

Press Release

Reston-Based Acclaim Technical Services (ATS) Acquires Entegra Systems

ATS positions as a middle-market leader in operational, mission, and technology services across the Intelligence Community (IC)

RESTON, Va., Dec. 02, 2021 (GLOBE NEWSWIRE) — Acclaim Technical Services (ATS), an emerging leader in specialized operational support, language, and technology services to the national security mission, has acquired Entegra Systems, LLC, a Hanover, Maryland-based provider of cyber technology solutions in support of defense, intelligence and national security missions. This acquisition further enhances ATS’ strategic expansion into technology to support its clients’ objectives, building upon the acquisition of Global Consulting Services (2020) and Axis of Engineering (2019).

Entegra Systems Inc., established in 2005, is an innovative provider of mission-critical solutions and services to U.S. government defense and intelligence customers. The company develops integrated solutions for enhanced situational awareness, operational planning, intelligence and geospatial analysis, and cyber and intelligence operations. Entegra is also a leading provider of services related to SIGINT development, collection, and analysis; mission and collection management; and intelligence analysis. Entegra has offices in Maryland, Virginia, and Georgia.

“We are excited to join the ATS family. I was really happy that we found an acquiring company with such a strong cultural alignment to Entegra and I am sure our employees will continue to thrive. The Entegra leadership team looks forward to the new capabilities, particularly in language and cultural advisory services, that we can bring to bear on our clients’ missions as well,” said Dean Johnson, Entegra Chief Executive Officer (CEO).

Dave Cerne, ATS CEO, stated, “We could not be more thrilled with the addition of Entegra to our amazing team, including their cadre of talented senior leaders, technologists, and analysts. They bring a depth of new capabilities to solve our customers’ hardest problems, including cyber solutions, SIGINT analysis capabilities, and a trademarked Natural Language Understanding System that will benefit many of ATS’ existing clients, along with many other additional solutions and experiences. Together, we will have over 500 talented professionals supporting the most complex national security missions.”

KippsDeSanto & Co. and Miles & Stockbridge served as advisor and legal counsel, respectively, to Entegra. Holland & Knight served as counsel to ATS.

About ATS: Backed by venture capital firm Blue Delta Capital Partners, ATS is a rapidly growing middle-market Intelligence Community-focused company providing Intelligence, Operational, Technology, Training, and Language Services. Started in 2000, ATS became an Employee Stock Ownership Plan company in 2013 and has been recognized as a Washington Post Top Workplace the last eight years.