KippsDeSanto & Co. advises Numerica Corporation on the sale of its space division to Slingshot Aerospace, Inc.
KippsDeSanto & Co. advises Numerica Corporation on the sale of its space division to Slingshot Aerospace, Inc.
KippsDeSanto & Co. is pleased to announce the asset sale of Numerica Corporation’s space division (“NSD” or the “space division”) to Slingshot Aerospace, Inc. (“Slingshot”).
Based in Fort Collins, CO, Numerica’s space division develops sophisticated hardware and software solutions for precision space domain awareness operations to help protect government and commercial space assets from hazards and threats. Numerica’s space division operates a network (the Numerica Telescope Network, “NTN”) of more than 20 sites and 150+ sensors worldwide that can detect and track objects (satellites, debris, etc.) in all regimes of operational space (LEO, MEO, GEO and xGEO orbits). NTN’s autonomous network and proprietary data processing solutions enable precision-focused space domain awareness operations around the clock. NSD’s unique ability to offer both daytime and nighttime tracking capabilities in LEO and beyond is a significant competitive differentiator.
The space division’s internally developed and operationalized end-to-end suite of advanced algorithms and software tools cover the entire TCPED chain to provide actionable intelligence and real-time data on thousands of satellites to over 200 individual data subscribers across the Department of Defense, Intelligence Community, and commercial customers. NSD’s role at the forefront of space domain awareness creates well-established growth opportunities to support the accelerated need of customers to protect their most critical assets in space as investment and interest in space contribute to increased congestion.
We believe this transaction highlights several key trends in the aerospace / defense / space M&A market:
- Intense interest in space domain awareness, encompassing the effective detection, tracking, identification, characterization, and understanding of any factor associated with the space domain that could affect space operations;
- The tremendous increase in investment in the space economy in recent years has had knock-on effects contributing to the value of the technologies that protect that investment;
- First-to-market technology developers can capture huge returns; and
- Deep domain and subject matter expertise remains a critical differentiator for sellers
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 175 industry transactions, 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.
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
Numerica announces divestiture of space division
Strategic sale positions Colorado company with laser focus on air & missile defense for rapid growth
FORT COLLINS, Colo. (Aug. 3, 2022) —A leader in air defense, missile defense and space domain awareness, Numerica is known for solving some of the nation’s most important defense challenges. After several years of innovation and growth, the Colorado company’s space division has been acquired by Slingshot Aerospace, a company focused on building space simulation and analytics products for Space Situational Awareness and Space Traffic Coordination. This divestiture will allow Numerica to focus on innovations in air and missile defense with even greater investment in its short-range air defense product line – including the Spyglass™ short-range surveillance radar and MIMIR™ C2 software.
Numerica’s distinguished space division provides high-quality data and state-of-the-art software solutions that inform operator action to help protect satellites from on-orbit hazards and threats. To help address critical space needs, Numerica has developed market-leading uncorrelated track processing software and transitioned it to multiple space operation centers, deployed a global telescope network to provide a responsive, robust and affordable commercial satellite tracking service and developed the world’s first commercial daytime optical LEO-to-GEO satellite tracking capability.
Through the agreement, Slingshot has acquired the following:
- An autonomous global network of proprietary sensors and software comprising more than 150 sensors including 30 telescopes across 20 locations around the globe with advanced data processing capabilities.
- The Numerica SDA team including research scientists, orbital analysts, software engineers and applied mathematicians in remote work settings including Vandenburg Air Force Base as well as the Fort Collins and Colorado Springs, Colo. offices.
- The Numerica office in Colorado Springs.
“We are proud to have developed such an effective global network of proprietary ground-based sensors and software for deep space surveillance and look forward to seeing its continued evolution with an established industry leader like Slingshot Aerospace,” President Jeff Poore said. “This acquisition will help accelerate advancements in spaceflight safety and sustainability during a time of great need, but it will also allow Numerica to strategically focus resources on our growing air and missile defense business.”
The air and missile defense teams at Numerica are dedicated to developing and deploying high-performance command and control systems for applications from theater integrated air and missile defense to tactical counter-UAS. Several of their biggest developments lately have included:
- Launch of Spyglass radar, a purpose-built multi-mission KU-band radar that addresses short-range air defense (SHORAD) missions inclusive of counter-small, unmanned aircraft systems (C-SUAS), ground surveillance and other missions.
- MFATS™, a mature and widely deployed sensor fusion software engine used to generate fire control quality tracks from a network of heterogeneous sensors.
- MIMIR, a software product for integrating networks of sensors and weapons, includes MFATS for sensor data fusion and a lightweight user display for operator engagement.
- An 18-year membership of the Lockheed Martin-led Missile Defense National Team, providing advanced algorithms to assist the U.S. Ballistic Missile Defense System (BMDS).
- A 13-year position providing advanced algorithms and software on the Northrop Grumman-led Integrated Air and Missile Defense Battle Command System (IBCS) program.
- Renovation of a 33,000 square foot facility to support the continued development of Spyglass radar – this new building located at 4450 Denrose Court in Fort Collins is the only location in Colorado that is currently manufacturing radar and one of only a few in the entire country.
About Numerica: Founded in 1996, Numerica focuses on creating innovative solutions to the most pressing technical challenges faced by customers in the areas of air defense and missile defense. Headquartered in Fort Collins, Colo., Numerica’s rapidly growing team of talented research scientists and engineers tackle data science problems by developing advanced algorithms to power mission-critical national security software. This year, Numerica celebrates 25 years of developing state-of-the-art technologies that have been deployed around the world to integrate networks, fuse data, precisely track targets and quantify uncertainty. Learn more at www.numerica.us.
Media Contact
Kelly Wakefield
kelly.wakefield@wildrockpr.com
970-449-6870
KippsDeSanto & Co. advises Blue Air Training, LLC, on its sale to Top Aces, a portfolio company of Clairvest Group Inc.
KippsDeSanto & Co. advises Blue Air Training, LLC, on its sale to Top Aces, a portfolio company of Clairvest Group Inc.
KippsDeSanto & Co. is pleased to announce the sale of Blue Air Training, LLC (“Blue Air” or the “Company”), to Top Aces, a portfolio company of Clairvest Group Inc. (“Clairvest”).
Headquartered in Las Vegas, Nevada, Blue Air is one of the preeminent providers of Close Air Support (“CAS”) training for U.S. and foreign military Joint Terminal Attack Controllers (“JTAC”). Blue Air offers a comprehensive, end-to-end suite of training services for JTAC, satisfying its CAS training requirements and ensuring combat readiness. Blue Air’s experienced military CAS instructor pilots provide customized training services designed in collaboration with each customer, including mission planning, logistics support, simulation, platform instruction, live / dry weapons control, day / night control, laser control, multiple asset replication, and mission debrief, among others.
As the pioneer of the CAS training market for JTACs, Blue Air has established an exceptional reputation and enduring relationships with customers such as the U.S. Air Force, the Air National Guard, and Special Operations Terminal Attack Controllers through their high-quality training services. The Company’s fleet of turboprop and jet aircraft and team of highly experienced fighter pilots, special operators, and operations personnel drive realistic and cost-efficient exercises, cultivating in Blue Air’s status as the sought-after industry partner.
Blue Air with Top Aces will be well positioned to capitalize on the fundamental tailwinds of contracted Adversary Air (“ADAIR”) and JTAC training services globally.
We believe this transaction highlights several key trends in the M&A market:
- Demand for companies with strong past performance and intimacy with well-funded customers
- Preeminent leaders within high barrier-to-entry industries are rare and highly sought-after in the market
- Attractiveness of operational synergies, complementary services, market know-how, and significant opportunities for growth
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 175 industry transactions, 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.
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.
KippsDeSanto & Co. advises Flatirons Solutions, Inc. on its sale to TELEO Capital
KippsDeSanto & Co. advises Flatirons Solutions, Inc. on its sale to TELEO Capital
KippsDeSanto & Co. is pleased to announce the sale of its client, Flatirons Solutions, Inc. (“Flatirons” or the “Company”), to TELEO Capital (“TELEO”).
Headquartered in Boulder, CO, Flatirons is a provider of end-to-end content lifecycle management software solutions that help top commercial airlines, tier-one OEMs, and government organizations worldwide manage complex aviation content and achieve higher levels of maintenance and flight operation productivity, optimize asset utilization, and realize operational / regulatory compliance. The Company has a rich history that spans over 25 years and includes deep relationships with marquee customers across the aerospace sector, including 8 of the top 10 global airlines, the top 3 aircraft engine OEMs, and numerous MRO, defense, and government customers.
The aerospace industry is rapidly adopting and expanding software-as-a-service (“SaaS”) based digital content management solutions that are replacing paper-based processes to manage content. Flatirons’ comprehensive product suite allows users to transform legacy arduous processes by effectively managing the full lifecycle of content from creation to consumption in a digital environment.
The Company’s software suite is OEM-agnostic and provides access to an up-to-date database of content for 150+ airframes, 130+ engines, and numerous subcomponents, which are seamlessly delivered through customer-centric software and consumed across multiple end-markets.
Flatirons’ with TELEO will accelerate innovations, furthering the Company’s leadership position in its markets and extending its content management functionality. By mid-2022, Flatirons will complete the launch of its new SaaS-based product suite as the Company works closely with two of the world’s largest airlines as inaugural customers of the fully cloud-based platform.
We believe this transaction highlights several key trends in the aerospace and enterprise technology M&A market:
- Buyers are looking for companies with differentiated expertise, seamless software-based solutions, and deeply embedded relationships with key aerospace / defense customers
- Continued emphasis on R&D investment is critical to capitalize on customers’ need for SaaS-based content management solutions
- Sophisticated private equity buyers with intimate knowledge of target industries / explicit growth strategies continue to be avid investors in the aviation software market, looking to the middle market to implement buy and build strategies
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
TELEO CAPITAL COMPLETES GROWTH EQUITY INVESTMENT IN FLATIRONS SOLUTIONS
Boise, ID and Los Angeles, CA – (November 9th, 2021) TELEO Capital Management, LLC (“TELEO”) announced the acquisition of Flatirons Solutions, Inc. (“Flatirons” or the “Business”) from Presse Participations. Flatirons is the global leader in technical content management solutions for the aviation and defense industries. This investment marks TELEO’s second investment in aviation software and fifth corporate carve-out since 2019.
Based in Boulder, CO, Flatirons offers a critical SaaS solution for the global aerospace industry which helps improve the productivity of maintenance procedures, ensuring regulatory compliance. TELEO’s investment will support the continued innovation of Flatirons’ software, driving significant operational efficiencies for the aerospace industry.
“The aerospace market is rapidly changing in response to regulations and technological advances. Flatirons provides organizations with a necessary software platform to efficiently deliver technical content and track completion of maintenance, service and installations while ensuring compliance with industry standards,” stated TELEO Capital.
“I am thrilled with this new chapter in our company history. TELEO and Flatirons share common values, especially when it comes to caring about our customers and employees. This partnership allows us to expand our capacity to serve the market,” stated Flatirons CEO, Stéphane Labadie.
“We are impressed with Flatirons’ innovation to date, the high quality of their staff and their top-tier customer base. Given their twenty years of leadership in the industry, we know they will fit perfectly into our expanding aviation software portfolio,” added Matt Scholl, an Operating Partner at TELEO.
KippsDeSanto & Co. served as the exclusive financial advisor to Flatirons on the transaction.
About Flatirons Solutions
Flatirons Solutions is a provider of technical content management solutions that enable global aviation and defense customers to create, publish and streamline critical information. Flatirons’ proprietary software continuously improves technical and regulatory content to align with necessary maintenance procedures. Their solutions translate content into actionable tasks and jobs, tracking the process from start to finish. Flatirons is based in Boulder, CO with additional offices in India and Europe.
For additional information, please visit www.flatironssolutions.com.
About TELEO Capital
TELEO Capital is a lower middle market private equity firm that looks to invest in opportunities where its strategic thought, operational resources and capital base empower management to perform and execute their business plan. TELEO brings a successful track record of executing corporate carve-outs, recapitalizing broken balance sheets, acquiring founder-owned companies, and implementing buy and build strategies for its portfolio companies. TELEO targets opportunities in the technology & software, healthcare IT, business services and industrial sectors. The firm is headquartered in Boise, ID with an additional office in Los Angeles, CA.
For additional information, please contact Matt Oehlmann at moehlmann@teleocapital.com or visit: www.teleocapital.com.
KippsDeSanto & Co. advises BEI Precision Systems & Space Company, Inc., a portfolio company of J.F. Lehman & Company, on its sale to Quantic Electronics, a portfolio company of Arcline Investment Management
KippsDeSanto & Co. advises BEI Precision Systems & Space Company, Inc., a portfolio company of J.F. Lehman & Company, on its sale to Quantic Electronics, a portfolio company of Arcline Investment Management
KippsDeSanto & Co. is pleased to announce the sale of BEI Precision Systems & Space Company, Inc. (“BEI Precision” or the “Company”), a portfolio company of its client J.F. Lehman & Company, to Quantic Electronics, a portfolio company of Arcline Investment Management.
Headquartered in Maumelle, AR, BEI Precision designs and manufactures the highest performing and most resilient and reliable position feedback sensors and frequency reference technologies for mission-critical space, land, air, and sea applications. BEI Precision has a diverse portfolio of proprietary technologies, including state-of-the-art space encoders, crystal oscillators, and other military sensors.
The Company has built a robust portfolio of sole-sourced, long-term contracts in partnership with key prime partners and government end customers. As a result, BEI Precision’s products are designed into a number of classified efforts as well as other high priority programs across space and defense. BEI Precision also has a growing footprint within the high growth and emerging commercial space market which it addresses with its proprietary encoder and oscillator product offerings. The Company’s established presence across numerous well-funded and strategically important market segments positions it well for continued growth in the future.
We believe this transaction highlights several key trends in the M&A market:
- Space remains a highly coveted market segment because of its importance to National Security objectives
- Strong preference for defense and space companies with technically differentiated, proprietary products and embedded positions on sought-after programs
- Sponsors continue to seek acquisitions with accomplished management teams, strong revenue and earnings visibility, and highly actionable growth levers
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 100 industry transactions, 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.
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 Releases
J.F. Lehman & Company Completes Sale of BEI Precision
NEW YORK – J.F. Lehman & Company (“JFLCO”), a leading middle-market private equity firm focused exclusively on the defense, aerospace, maritime, government and environmental industries, announced today that investment affiliates have sold BEI Precision Systems & Space Company, Inc. (“BEI Precision” or the “Company”) to Quantic Corporate Holdings, Inc. (“Quantic Electronics”), a portfolio company of Arcline Investment Management. Terms of the transaction were not disclosed.
BEI Precision designs, engineers, and manufactures highly accurate, resilient, and reliable position feedback sensors and frequency reference technologies for mission-critical space, land, air, and sea applications. Headquartered in Maumelle, AR, the Company’s products are designed into many of the U.S. government’s highest priority, long-life programs.
Since acquiring BEI Precision in 2017, JFLCO worked closely with management to successfully identify and integrate two strategic acquisitions, overhaul the Company’s R&D and business development functions, and optimize manufacturing operations. In turn, the Company has developed and delivered industry-leading products for numerous programs of national significance, resulting in substantial revenue and earnings growth.
“Our successful partnership with management has enabled BEI Precision to transform from a small, stable business unit of a larger corporate parent into a standalone, high-growth enterprise with state-of-the art products occupying sole-source positions on high priority space, electronic warfare and radar programs,” said Steve Brooks, Chairman of BEI Precision’s Board of Directors and Partner at JFLCO.
Mark Mirelez, President and Chief Executive Officer of BEI Precision, commented, “Today’s milestone is a validation of the market leading position, operational excellence, and culture that we have worked tirelessly to achieve. We are immensely grateful for JFLCO’s support and look forward to continuing to deliver on future growth opportunities with our new partners at Quantic Electronics.”
“We are extremely proud of the accomplishments Mark and his team achieved during our ownership,” added Will Hanenberg, a member of BEI Precision’s Board of Directors and Managing Director at JFLCO. “As a result of their efforts, BEI Precision is uniquely-suited to address the dynamic requirements of its demanding space and military customers, and we believe Quantic Electronics is the ideal partner to help guide the Company through the next phase of its growth.”
KippsDeSanto & Co. served as exclusive financial advisor to JFLCO and Jones Day served as lead legal counsel. BakerHostetler provided legal support related to international trade, government contracts, and defense security compliance matters.
Quantic™ Electronics Acquires BEI Precision
Maumelle, AR, August 17, 2021 — Quantic™ Electronics (“Quantic”), a portfolio company of Arcline Investment Management (“Arcline”), today announced the acquisition of BEI Precision (“BEI”) from J.F. Lehman & Company. BEI designs, engineers, and manufactures highly accurate, resilient, and reliable position feedback sensors and frequency reference technologies for mission-critical space, land, air, and sea applications. The Company’s products are designed into many of the U.S. government’s highest priority, long-life programs.
“Our strategy is to acquire world-class, mission-critical-electronic component manufacturers with significant long-term growth potential. BEI’s technology, products, and people fit perfectly with this strategy,” said Kevin Perhamus, President and CEO of Quantic Electronics. “This acquisition further establishes Quantic as a leading supplier of critical components for space, aerospace, and defense applications. BEI brings more than 60 years of experience designing and manufacturing proprietary optical encoders, scanners, accelerometers, and frequency products. We’re excited to partner with the BEI team to continue building upon this heritage to offer new and exciting products for our shared customers.”
Mark Mirelez, President and Chief Executive Officer of BEI Precision, commented, “Today’s milestone is a validation of the market leading position, operational excellence, and culture that we have worked tirelessly to achieve. We look forward to continuing to deliver on future growth opportunities with our new partners at Quantic Electronics.”
Evercore served as financial advisor to Quantic.
About Quantic Electronics
Quantic is an electronic component company focused on defining and delivering the future of mission-critical electronics. We have over a century of combined experience as reliable problem-solvers and trusted partners in military, aerospace, industrial and commercial markets. www.quanticnow.com.
About Arcline Investment Management
Arcline is a growth-oriented private equity firm that seeks to invest in thriving middle market businesses with structurally recurring revenue streams in high value industries. Arcline’s differentiated investment strategy combines deep business model expertise, proactive thematic research, an unrelenting focus on the upside and a collaborative, management-first approach to value creation. The firm’s primary sectors of interest include defense, aerospace, critical infrastructure services, industrial & biopharmaceutical technology, life sciences and specialty materials. Launched in 2019, Arcline currently has $4.3 billion in cumulative capital commitments. The firm’s more than 35 professionals are predominantly based in New York and San Francisco. For more information about Arcline’s investment philosophy and values, visit www.arcline.com.
KippsDeSanto & Co. Advised Fenix Group, Inc. on its investment from Enlightenment Capital
KippsDeSanto & Co. Advised Fenix Group, Inc. on its investment from Enlightenment Capital
KippsDeSanto & Co. is pleased to announce that our client, Fenix Group, Inc. (“Fenix” or the “Company”) has received a strategic investment from Enlightenment Capital.
Headquartered in Chantilly, Virginia, Fenix provides innovative, band-agile closed loop carrier grade (4G / LTE and 5G) networks supporting battlefield communication and sensor ecosystems with advanced sensor endpoints for the defense, intelligence, and disaster response sectors. Through specialized network communication services, unmanned systems integration, and patented products, Fenix increases warfighter lethality while reducing risk, complexity, and costs over legacy systems. The Company is aligned with several key government programs and customers across the U.S. Department of Defense and Intelligence Community.
Fenix has developed its technology solutions with a focus on edge networks and integrated systems, which it refers to as the “Battlefield of Things®” sensor ecosystem. Through this ecosystem, it connects a variety of battlefield sensors to include UAVs, UGVs, Unattended Ground Sensors (“UGS”), and COTS end-user devices. By leveraging 4G / LTE and 5G combined with Mobile Ad Hoc Network (“MANET”) communication technologies and edge computing, Fenix enhances situational awareness and is able to pass increased amounts of data and information at the tactical edge in both domestic and deployed environments. The Company is also at the forefront of 5G integration for military use providing infrastructure and mobile platforms equipped with 5G functionality for military installations across the U.S. through recently awarded subcontracts with several key partners.
The investment from Enlightenment Capital will support Fenix’s growth strategy by providing financial resources and strategic / M&A support as it looks to build on its success to date and expand its facility footprints in multiple states and refine the Company’s engineering process and manufacturing capacity to scale with demand.
We believe this transaction demonstrates several key trends for defense technology investing:
- Strong demand for innovative, field-proven tactical communication and sensor ecosystem capabilities supporting mission-critical defense and intelligence programs
- Continued emphasis on R&D and strategic partnerships as a means for consistent and steady product development and evolution
- Investors continue to seek opportunities to deploy capital in the defense technology market for coveted assets with strategic footprints and differentiated solutions in key high growth segments, such as 5G and communications at the tactical edge
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 100 industry transactions, 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.
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
Enlightenment Capital Invests in Fenix Group
Chevy Chase, Maryland – June 21, 2021 Enlightenment Capital, an Aerospace, Defense, Government & Technology (ADG&T) focused investment firm based in the Washington, DC area, announced it has made a strategic investment in Fenix Group. Fenix is a provider of integrated systems, battlefield edge networks, and Low Probability of Intercept / Low Probability of Detection (LPI / LPD) communications solutions in support of the U.S. Department of Defense (DoD), special operations, and intelligence communities. The investment will support Fenix’s growth strategy by providing financial resources and strategic / M&A support, as it looks to build on its success to date.
Founded in 2016 and based in Chantilly, VA, Fenix provides equipment and services for private broadband networks (e.g., 5G / LTE) and handheld communication devices, supporting battlefield communication and sensor ecosystems with endpoints for the defense, intelligence, and disaster response sectors. The Company was recently awarded subcontracts with several key partners to provide military grade mobile products and infrastructure with 5G functionality for military bases throughout the U.S. In 2020, Fenix was named a Government Contractor of the Year by the Small and Emerging Contractor Advisory Forum (SECAF).
“Fenix supports some of the most cutting-edge electronics solutions being implemented on the tactical edge of the DoD and intelligence communities,” said Jason Rigoli, Partner at Enlightenment Capital. “The solutions span 5G, LTE, and other mobile communications technologies from domestic to austere environments. We are excited to invest in their vision of pushing the boundaries of interconnected defense and intelligence systems in use around the world.”
“We are very excited to partner with Enlightenment Capital as we begin the next chapter in our growth strategy. Enlightenment’s experience and deep industry expertise is exactly what we were looking for in a strategic investor. This partnership greatly enhances our ability to drive growth through expansion of our facility footprints in multiple states and allows us to refine our engineering process and manufacturing capacity to scale with demand,” said Dave Peterson, Founder & CEO.
About Fenix Group
Founded in 2016, Fenix Group provides technology solutions with a focus on edge networks and integrated systems, which it refers to as the “Battlefield of Things®” sensor ecosystem. Through this ecosystem, it connects a variety of battlefield sensors to include UAVs, UGVs, Unattended Ground Sensors (UGS), and COTS end-user devices. By leveraging 4G / LTE & 5G combined with Mobile Ad Hoc Network (MANET) communications technologies and edge computing, Fenix enhances situational awareness as well as data and information sharing at the tactical edge in both domestic and deployed environments. For more information, visit www.fenixgroup.io.
About Enlightenment Capital
Enlightenment Capital, a Washington, DC area based private investment firm, provides flexible capital and strategic support to middle market companies in the Aerospace, Defense, Government & Technology (ADG&T) sector. The firm partners with businesses that provide vital services, protect critical
infrastructure, innovate cyber and data solutions, enhance decision making capabilities, engineer aerospace systems, safeguard national security, and endeavor to meet the challenges of today and tomorrow. For more information, visit www.enlightenment-cap.com
KippsDeSanto & Co. Advises NSI-MI Technologies on its sale to AMETEK, Inc.
KippsDeSanto & Co. advises NSI-MI Technologies on its sale to AMETEK, Inc.
KippsDeSanto & Co. is pleased to announce the sale of its client, NSI-MI Technologies (“NSI-MI” or the “Company”), to AMETEK, Inc. (“AMETEK”).
Headquartered in Suwanee, GA, NSI-MI is a leading provider of microwave measurement systems and antenna and radio frequency (“RF”) testing and instrumentation solutions.
The Company’s array of offerings enables it to provide testing solutions to its customers across several industries, including aerospace, defense, space, communication, automotive, and research. NSI-MI’s advanced engineering capabilities allow it to customize and optimize test systems and continue to provide testing and support beyond the initial system delivery.
The transaction complements AMETEK’s growth model, which integrates operational excellence, new product development, global and market expansion, and strategic acquisitions with a disciplined focus on cash generation and capital deployment. NSI-MI will join as part of AMETEK’s Electronic Instruments Group (EIG), a leader in a leader in advanced analytical, monitoring, testing, calibrating and display instruments.
We believe this transaction highlights several key trends in the M&A market:
- Buyers are looking for proprietary, highly engineered, and differentiated solutions
- Continued demand for innovative companies that are poised to capitalize on key market growth drivers (i.e., expansion of the instrumentation market, 5G technology, and prioritization of turnkey architecture)
- Continued emphasis on R&D is critical to maintain and modernize key products, as well as develop next generation technology
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 100 industry transactions, 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.
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
AMETEK Acquires NSI-MI Technologies
BERWYN, PA, May 4, 2021 – AMETEK, Inc. (NYSE: AME) today announced that it has acquired NSI-MI Technologies, a leading provider of radio frequency and microwave test and measurement solutions and services. NSI-MI was acquired for $230 million and has annual sales of approximately $90 million.
NSI-MI’s expertise in advanced radio frequency and microwave technologies allows them to provide complete test and measurement systems for niche applications across the aerospace, defense, automotive, wireless communications, and research markets. The company has a diverse portfolio of testing instrumentation, components and software, while also providing customers with turnkey anechoic and simulation chambers, and a broad set of aftermarket services.
“We are pleased to welcome NSI-MI to AMETEK,” comments David A. Zapico, AMETEK Chairman and Chief Executive Officer. “NSI-MI is an outstanding acquisition and nicely complements our existing Electromagnetic Compatibility test and measurement businesses. NSI-MI’s test and measurement solutions are uniquely positioned to support the continued development of advanced RF and microwave technologies for critical applications in wireless communications, satellite systems, autonomous vehicles, and defense systems.”
NSI-MI is headquartered in Suwanee, Georgia with additional operations in Torrance, California and Sheffield, U.K. NSI-MI joins AMETEK as part of its Electronic Instruments Group (EIG) – a leader in advanced analytical, monitoring, testing, calibrating and display instrumentation.
Corporate Profile
AMETEK is a leading global manufacturer of electronic instruments and electromechanical devices with annual sales in 2020 of more than $4.5 billion. The AMETEK Growth Model integrates the Four Growth Strategies – Operational Excellence, New Product Development, Global and Market Expansion, and Strategic Acquisitions – with a disciplined focus on cash generation and capital deployment. AMETEK’s objective is double-digit percentage growth in earnings per share over the business cycle and a superior return on total capital. The common stock of AMETEK is a component of the S&P 500.
KippsDeSanto & Co. Advises Physical Optics Corporation on its Sale to Mercury Systems, Inc. (NASDAQ: MRCY)
KippsDeSanto & Co. advises Physical Optics Corporation on its Sale to Mercury Systems, Inc. (NASDAQ: MRCY)
KippsDeSanto & Co. is pleased to announce the sale of its client, Physical Optics Corporation (“POC” or the “Company”) to Mercury Systems, Inc. (“Mercury”).
Headquartered in Torrance, CA, POC serves as a leading designer, developer, and integrator of advanced technologies primarily focused on mission-critical avionics and subsystems for the most demanding defense applications, supporting airborne solutions broadly transferable to ground, maritime, and unmanned platforms. The Company’s principal expertise in optimizing size, weight, and power (“SWaP”) and enhancing encryption capabilities for the most complex and demanding avionics solutions has produced a robust portfolio of innovative products – much of which was developed leveraging the Small Business Innovation Research (“SBIR”) program – including data transfer systems, flight data recorders, mission computers, high-definition data and video recorders, and advanced encryption devices for well-funded and highly-visible programs of record. The common-use nature of POC’s technologies directly translates into broad adoption across the Navy, Army, and Air Force for newly fielded platforms (including burgeoning positions on future vertical lift, the B-2, and various unmanned platforms), as well as established relationships upgrading legacy aircraft (including the F-18, V-22, the H-60 family, T-45, F-16, F-15, and F-22).
Employing approximately 350 employees, including over 160 multi-disciplinary engineers and a deep bench of PhDs, POC has developed a substantial portfolio of intellectual property (“IP”), including over 160 patents as well as numerous SBIR-oriented technologies covering 60 diverse focus areas spanning avionics, electronic warfare, artificial intelligence, and machine learning. POC’s unique combination of avionics solutions, core IP and engineering expertise, embedded status on well-funded airborne programs, and state-of-the-art facilities uniquely position the Company to complement Mercury’s existing capabilities and accelerate the combined company’s growth via the delivery of pre-integrated avionics subsystems to an increasingly broad customer set.
We believe this transaction demonstrates several key trends in the aerospace and defense mergers and acquisitions (“M&A”) market:
- Defense program modernization continues to be an area of significant interest for buyers given the evolving budgetary environment
- Demand for companies with entrenched positioning on well-funded Programs of Record (“PoRs”) and trusted customer relationships remains strong
- Ongoing M&A focus by strategic buyers on acquisition targets with advanced engineering capabilities, proprietary IP, SBIR-oriented technologies, and robust Research & Development capabilities
- Public strategic buyers continue to aggressively deploy capital in order to accelerate organic growth strategies and gain access to PoRs and customers
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 100 industry transactions, 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.
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
Mercury Systems to Acquire Physical Optics Corporation
- Continues to scale Mercury’s global avionics & mission systems business
- Complementary capabilities enhance position at forefront of military digital convergence
- Expands platform and mission management content on new and existing airborne platforms
- Broadens mission processing capabilities, adding data transfer and recording solutions
- Leverages investments in embedded security and safety-certifiable avionics processing
ANDOVER, Mass., Dec. 07, 2020 (GLOBE NEWSWIRE) – Mercury Systems, Inc. (NASDAQ: MRCY, www.mrcy.com), a leader in trusted, secure mission-critical technologies for aerospace and defense, today announced that it has signed a definitive agreement to acquire Physical Optics Corporation (“POC”). Based in Torrance, Calif., POC is a leading designer, developer, and integrator of advanced technologies primarily focused on avionics & mission subsystems for defense applications.
Pursuant to the terms of the agreement, Mercury will acquire POC for an all-cash purchase price of $310 million, subject to net working capital and net debt adjustments. The acquisition and associated transaction expenses are expected to be funded through a combination of cash on hand and Mercury’s existing revolving credit facility.
POC is currently expected to generate revenue of over $120 million for its fiscal year ending December 31, 2020. The acquisition represents a multiple of approximately 13x next twelve months EBITDA and is expected to be immediately accretive to adjusted EPS.
“The acquisition of Physical Optics Corporation adds important capabilities on new and existing airborne programs in the platform and mission management market,” said Mark Aslett, Mercury’s president and chief executive officer. “The combination of Mercury’s safety-certifiable and secure avionics processing solutions with POC’s deep portfolio of data storage, transfer, and encryption technologies will enable us to deliver more complete, pre-integrated avionics subsystems to our customers. POC has a similar growth profile to Mercury, supported by several key design wins that are transitioning into production. We are very excited for POC to join the Mercury team.”
“This acquisition broadens our avionics product and technology portfolio to help our defense Prime customers, the U.S. Navy, Army and Air Force deploy next-generation open-architecture mission computing solutions,” added Amela Wilson, senior vice president, Mercury Mission. “Similar to Mercury, POC is well-positioned in faster-growing segments of the defense market and benefits from secular growth drivers, such as supply chain delayering. Together, Mercury and POC can provide customers new capabilities and subsystem solutions.”
Founded in 1985, POC employs approximately 350 people, including more than 160 highly skilled engineers, and holds over 160 patents worldwide, covering 60 technologies. They support mission-critical programs with common-use products spanning data transfer systems, flight data recorders, mission computers, high-definition data and video recorders, and advanced encryption devices. POC is well-positioned on a wide variety of key airborne and naval defense platforms that are experiencing increased funding for electronics modernization to specifically address digital convergence and combat near-peer threats in line with the National Defense Strategy.
The acquisition is subject to customary closing conditions, including approval pursuant to the Hart-Scott-Rodino Antitrust Improvements Act of 1976. The transaction is currently expected to close during Mercury’s fiscal 2021 second quarter ending January 1, 2021.
Operating at the intersection of high-tech and defense, Mercury Systems is the leader in making trusted, secure mission-critical technologies profoundly more accessible. Our work is inspired by our Purpose of delivering Innovation That Matters by and for People Who Matter, to make the world a safer, more secure place for all. For more information, visit mrcy.com or contact Mercury at (866) 627-6951 or info@mrcy.com.
Mercury Systems – Innovation That Matters®
Mercury Systems is a leading technology company serving the aerospace and defense industry, positioned at the intersection of high-tech and defense. Headquartered in Andover, Mass., the Company delivers solutions that power a broad range of aerospace and defense programs, optimized for mission success in some of the most challenging and demanding environments. The Company envisions, creates and delivers innovative technology solutions purpose-built to meet customers’ most-pressing high-tech needs, including those specific to the defense community. To learn more, visit mrcy.com, or follow us on Twitter.
Forward-Looking Safe Harbor Statement
This press release contains certain forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, including those relating to the acquisitions described herein and to fiscal 2021 business performance and beyond and the Company’s plans for growth and improvement in profitability and cash flow. You can identify these statements by the use of the words “may,” “will,” “could,” “should,” “would,” “plans,” “expects,” “anticipates,” “continue,” “estimate,” “project,” “intend,” “likely,” “forecast,” “probable,” “potential,” and similar expressions. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected or anticipated. Such risks and uncertainties include, but are not limited to, continued funding of defense programs, the timing and amounts of such funding, general economic and business conditions, including unforeseen weakness in the Company’s markets, effects of epidemics and pandemics such as COVID, effects of any U.S. federal government shutdown or extended continuing resolution, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing engineering and manufacturing programs, changes in customer order patterns, changes in product mix, continued success in technological advances and delivering technological innovations, changes in, or in the U.S. Government’s interpretation of, federal export control or procurement rules and regulations, market acceptance of the Company’s products, shortages in components, production delays or unanticipated expenses due to performance quality issues with outsourced components, inability to fully realize the expected benefits from acquisitions and restructurings, or delays in realizing such benefits, challenges in integrating acquired businesses and achieving anticipated synergies, increases in interest rates, changes to industrial security and cyber-security regulations and requirements, changes in tax rates or tax regulations, changes to interest rate swaps or other cash flow hedging arrangements, changes to generally accepted accounting principles, difficulties in retaining key employees and customers, unanticipated costs under fixed-price service and system integration engagements, and various other factors beyond our control. These risks and uncertainties also include such additional risk factors as are discussed in the Company’s filings with the U.S. Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ended July 3, 2020. The Company cautions readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made.
Mercury Systems and Innovation That Matters are registered trademarks of Mercury Systems, Inc. Other product and company names mentioned may be trademarks and/or registered trademarks of their respective holders.
KippsDeSanto & Co. Advises Braxton Science & Technology Group, LLC on its sale to Parsons Corporation
KippsDeSanto & Co. Advises Braxton Science & Technology Group, LLC on its sale to Parsons Corporation
KippsDeSanto & Co. is pleased to announce the sale of its client, Braxton Science & Technology Group, LLC (“Braxton” or the “Company”) to Parsons Corporation (NYSE: PSN).
Headquartered in Colorado Springs, CO, Braxton is a leading provider of command and control, data transport, and cybersecurity solutions that unify spacecraft ground control operations across the Department of Defense (“DoD”) and Intelligence Community (“IC”). Braxton leverages its broad, differentiated portfolio of integrated and cross-functional products and services to deliver comprehensive satellite system solutions, including ground system automation, communication, and flight dynamics. These advanced solutions provide Braxton’s customers with mission-critical support for all spacecraft ground control and spacecraft integration mission requirements. The Company has supported more than 100 spacecraft missions across all seven continents, developing significant space domain expertise and a robust track record providing solutions to a diverse set of customers across the DoD and IC.
The transaction complements Parsons Corporation’s space portfolio increases its product offerings in high-growth markets, and adds critical intellectual property that expands its capabilities for the U.S. Air Force, Space Force, and Space and Missile Command.
We believe this investment demonstrates several key trends in the current defense environment:
- Space continues to be a highly coveted growth and M&A area given its importance to National Security and increasing budgetary trends
- Significant demand for advanced, technology-centric, engineering solutions supported by Company-owned intellectual property
- Strong focus on companies that have high barriers to entry, embedded positions within sought-after and hard-to-reach space and IC customers, and strong competitive differentiators within the rapidly evolving space system ecosystem (i.e., LEO communications constellations, small satellites, and space cyber resiliency)
- Strategic buyers continue to seek acquisitions that unlock value and accelerate growth, particularly for assets that demonstrate substantial revenue visibility, protected intellectual property, and seasoned management teams
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 100 industry transactions, 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.
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
Parsons to Acquire Braxton Science & Technology Group
Acquisition enhances Space and Cyber portfolio; Accretive to top and bottom line growth
CENTREVILLE, VA (Oct. 27, 2020) – Parsons Corporation (NYSE:PSN) announced today that it has entered into a definitive agreement to acquire Braxton Science & Technology Group, LLC (“Braxton”) and its subsidiaries for approximately $300 million in cash. The acquisition increases Parsons’ federal solutions, product and capabilities in the space and cyber markets.
Braxton’s broad portfolio of commercial off-the-shelf (COTS) products provide mission critical solutions including spacecraft ground control and spacecraft integration. Braxton has over 50 differentiated product offerings focused on space missions that are comprised of software and hardware products combined with advanced engineering services. Braxton’s industry leading product portfolio is built on a technology base of artificial intelligence leveraging machine learning, deep learning, and data analytics, and integrates advanced cybersecurity tool sets. The group will be integrated into Parsons’ space and geospatial solutions market, adding more than 370 employees, 80 percent of whom hold security clearances.
“The addition of Braxton complements our space portfolio, increases our product offerings in high-growth markets, and adds critical intellectual property that complements and expands our capabilities for the U.S. Air Force, Space Force, and Space and Missile Command,” said Chuck Harrington, Parsons’ chairman and chief executive officer. “We look forward to welcoming Braxton’s employees into the Parsons’ family, driving synergistic solutions that leverage our expanded set of space solutions, growing our technology and transactional revenues, and furthering our customer’s critical missions including joint all domain operations.”
Headquartered in Colorado Springs, Co., Braxton operates at the forefront of satellite operations, ground system automation, flight dynamics, and spacecraft and antenna simulation for the U.S. Department of Defense and Intelligence Community. These capabilities position Parsons to capitalize on the quickly evolving space missions of its national security space customers and address rapid market growth driven by proliferated low earth orbit (LEO) constellations, small satellite expansion, and space cyber resiliency. Braxton has specific domain expertise with the U.S. Air Force’s Enterprise Ground Services (EGS) effort: a next generation architecture that will unify spacecraft ground control operations across multiple major government agencies.
The transaction is consistent with Parsons’ strategy of acquiring high-growth, defense, and intelligence technology companies with software and hardware intellectual property that enhance its technology and transactional revenue growth and margin profile.
“The combination of Braxton’s leading defense capabilities, and decades of trusted customer relationships, combined with Parsons’ global scale, cross-industry experience, and disruptive mindset creates a leading space technology provider,” said Ken O’Neil, President of Braxton. “We’re excited to join an organization known for their entrepreneurial spirit, agility, culture of innovation and inclusivity, and successful track record of mergers, acquisitions, and integrations. Parsons is a large company with the operational agility of a smaller organization, which attracted us to them and gives us confidence in our future success together.”
The transaction is valued at approximately $258 million, including the net present value of a $42 million transaction-related tax benefit, or approximately 11x Braxton’s estimated 2021 adjusted EBITDA before considering any revenue or cost synergies. For 2021, Braxton is expected to generate revenue of approximately $133 million. The transaction is expected to be accretive to Parsons’ 2021 adjusted earnings per share and close in Q4 2020, subject to customary closing conditions. Parsons was advised by Goldman Sachs & Co LLC and Latham & Watkins LLP. Braxton was advised by KippsDeSanto & Co and Sparks Wilson, P.C.
About Parsons:
Parsons (NYSE: PSN) is a leading disruptive technology provider in the global defense, intelligence, and critical infrastructure markets, with capabilities across cybersecurity, missile defense, space, connected infrastructure, and smart cities. Please visit Parsons.com and follow us on LinkedIn and Facebook to learn how we’re making an impact.
Forward-Looking Statements
This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Registration Statement on Form S-1 and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this presentation that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so in connection with our ongoing requirements under federal securities laws.
