KippsDeSanto & Co. Advises Technology Management Associates, Inc. on its Sale to SAP National Security Services

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KippsDeSanto & Co. is pleased to announce the sale of our client, Technology Management Associates (“TMA” or the “Company”), to SAP National Security Services (“NS2”).

Based in Chantilly, VA, TMA is a leading provider of innovative, mission-focused solutions for the Intelligence Community (“IC”) and Department of Defense (“DoD”).  TMA’s core capabilities, include national tactical integration, multi- INT fusion, digital signal processing, algorithm development, signal analysis, systems integration, and software engineering.  The Company provides highly technical support to critical national security programs.

The transaction will further bolster NS2’s national security presence.  TMA’s expertise is in line with NS2’s strategy around leveraging technology – such as the HANA platform – to fuse large data sets given today’s complex threat environment.

We believe this transaction demonstrates several key trends in the IC and DoD M&A environment:

  • Companies who serve highly coveted IC customers with innovative solutions, to include both services and technology, remain in high demand
  • Strategic acquirers continue to prioritize companies with a proven track-record of organic growth and the opportunity to further scale as part of a larger platform
  • Continued M&A interest in high-end solutions businesses from non-traditional buyers, to include more commercially oriented companies

KippsDeSanto Advises Strategic Resources International on its Sale to Peraton

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KippsDeSanto & Co. is pleased to announce the sale of our client, Strategic Resources International (“SRI” or the “Company”) to Peraton Corp., a portfolio company of Veritas Capital.

Headquartered in Reston, VA, SRI is a provider of telecommunications assets in the areas of mobile, IP transport, and VSAT. This acquisition adds complementary communication capabilities and expertise to Peraton’s end-to-end communications solution portfolio, enabling Peraton to more-fully integrate its customers into the global communications enterprise.

 

 

 

We believe this transaction demonstrates several key trends in the government services M&A environment:

  • Mid-size strategic and sponsor-backed buyers value companies with embedded customer relationships and strong past performance qualifications.
  • Buyers rely on M&A to add innovative capabilities that proactively fill customer needs.
  • Acquirers continue to place premium values on companies with entrenched and defensible positions with key customers on mission-critical programs.

KippsDeSanto & Co. is an investment bank focused on delivering exceptional M&A and financing transaction results for leading aerospace, defense, and technology companies.  For more information on KippsDeSanto & Co., please visit www.kippsdesanto.com.

KippsDeSanto & Co., member FINRA / SIPC, is not affiliated with other companies mentioned herein

 

Press Release

 

Peraton Completes Acquisition of Strategic Resources International

Strong Complement to Company’s Extensive End-to-End Communications Solutions Portfolio

April 23, 2018

“The addition of SRI to the Peraton portfolio adds an important complement to our communications offerings through their extensive portfolio of telecommunications assets in the areas of mobile, IP transport, and VSAT.”

Peraton is a leading provider of satellite and terrestrial communications. Peraton’s customers range in applications from advanced space communications for NASA’s scientific missions, managing modern communication infrastructures for global businesses, to users in remote and harsh environments across the globe. The company provides the full spectrum of telecommunications services ranging from communications transport to fully-managed network services and solutions by providing seamless access to voice, video, and data. Peraton has robust offerings in: satellite & terrestrial connectivity, carrier-independent terrestrial network with global points of presence; 24x7x365 network operations; agile & innovative network architecture, engineering & analysis; data processing & delivery; and global reach back and last-mile communications.

Stu Shea, president and CEO of Peraton, said, “The addition of SRI to the Peraton portfolio adds an important complement to our communications offerings through their extensive portfolio of telecommunications assets in the areas of mobile, IP transport, and VSAT.”

Together, this acquisition allows Peraton to deliver end-to-end communications solutions, offering high adaptability to integrate a customer into the global communications enterprise. SRI brings extensive experience in building, deploying and augmenting highly-adaptable communications infrastructure in anticipation of critical, global communications needs.

About Peraton

Peraton provides innovative, reliable solutions to global mission-critical programs and systems. As a trusted provider of highly-differentiated space, intelligence, cyber, defense and electronic warfare, homeland security, and communications capabilities, Peraton is a critical partner to select federal agencies and commercial entities. Headquartered in Herndon, Virginia, the company employs approximately 3,500 people across the U.S. and Canada. For more information on Peraton, visit www.peraton.com.

KippsDeSanto & Co. Advises RGS Associates on its Sale to USfalcon, Inc.

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KippsDeSanto & Co. is pleased to announce the sale of our client, RGS Associates (“RGS” or the “Company”), a portfolio company of CM Equity Partners, to USfalcon, Inc. (“USfalcon”).

Headquartered in Crystal City, VA, RGS is a leading technology and management consulting company that provides high-end IT, strategy, and human capital management services aimed at optimizing and modernizing critical government functions while creating cost and operational efficiencies.

Since its founding in 1984, RGS has built a reputation for having industry-leading subject matter and domain expertise.  The Company’s unique offerings cover the full lifecycle of IT and management solutions, spanning from implementation to execution.  RGS’ value-added management consulting and human capital management services, as well as its suite of agile software and web services development, help government customers develop and incorporate innovative solutions that drive meaningful results and reduce costs.  RGS’ capabilities and approach to long-term customer support have resulted in a portfolio of long-term contracts, deeply-embedded customer relationships, and exemplary past performance qualifications.

Through its acquisition of RGS, USfalcon expects to leverage the Company’s suite of capabilities and extensive, long-term relationships to expand its presence within a coveted customer base, to include the Department of the Navy, the Department of Justice, the Federal Bureau of Investigation, and the Department of Homeland Security.

We believe this transaction demonstrates several key trends in the government services M&A environment:

  • Mid-size strategic buyers value niche companies with embedded customer relationships and strong past performance qualifications;
  • High-end capability offerings, such as agile and web services development, continue to drive demand in an M&A context;
  • F&O contract portfolios remain a priority focus for strategic buyers within the government services market; and
  • Acquirers continue to look for well-positioned defense and intelligence targets

 

Press Release

 

USfalcon, Inc. (USfalcon) is pleased to announce its merger with RGS Associates, Inc. (RGS).

USfalcon is a leading provider of national defense and security related management and engineering support services, primarily in the areas of Air Force Space, Cyber and Engineering Services, and Army Aviation. RGS is a leading provider of management consulting, human capital management, and information technology services to the Departments of Defense, Navy, Justice, Homeland Security, and numerous other civilian agencies.

The joining of the highly capable resources, experience, knowledge, and management acumen of these two leading-edge companies will provide a depth and breadth of capability across the DoD, the military services, and civilian agencies that is available only in significantly larger corporations.

USfalcon Chief Executive Officer, Zannie Smith, Major General, US Army, Retired, stated “Our USfalcon team examined the valuable client relationships, technical expertise, quality staff members, and the synergy that would be created by our combined forces, and determined that this merger was in our best interest to pursue. After meeting with the RGS team, it was our shared values and commitment that impressed me the most, and made this merger an imperative in my mind.”

About USfalcon

USfalcon is a Service-Disabled, Veteran-Owned Business headquartered in Cary, NC. With offices in Dayton, OH; Reston, VA; Huntsville, AL; and Colorado Springs, CO, USfalcon’s personnel provide on-site Aerospace, Mission Systems Engineering, Information Technology, and Education and Training services supporting warfighters at numerous Government facilities across the United States and abroad. USfalcon is ISO 9001:2015 and AS9110C certified.

USfalcon is committed to its core values of Integrity, Commitment, Stewardship and Service, and found those same values in RGS.

About RGS

RGS provides the Department of Defense, Justice, Homeland Security, and other Civilian Agencies with intelligent solutions to meet some of the government’s greatest challenges. RGS applies deep expertise in all project phases from strategic planning through execution and delivers tangible business results in Program Management, Human Capital, and Information Technology. Known for integrity and superior service delivery, RGS has a culture that instills fresh thinking, responsiveness, and dedication to its clients’ missions. www.rgsinc.com

KippsDeSanto & Co. Advises ADG Creative on its Sale to Chenega Corporation

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KippsDeSanto & Co. is pleased to announce the sale of our client, ADG Creative (“ADG” or the “Company”), to Chenega Corporation (“Chenega”), an Alaska Native Corporation (“ANC”).

Based in Columbia, MD, ADG is a leading digital innovations firm with a full suite of solutions that address business, cultural, and technology challenges for its customers which include the Department of Defense (“DoD”), the Intelligence Community (“IC”), academia, and commercial clients.  ADG’s capabilities, include innovation, consulting and strategic communications to develop and enhance technology solutions and support organizational goals.  ADG differentiators are evident through the Company’s agility, speed, and responsiveness, as well as deep and long-standing client relationships resulting from earned reputation and trust, quality work, and consistent successful engagements.

Through its acquisition of ADG, Chenega believes its resources, as well as ADG’s, will help satisfy the DoD’s critical need for emerging technology and digital transformation.  Chenega’s scale and relationships will complement ADG’s, allowing the Company to pursue larger opportunities while positively impacting the clients it currently serves.

This transaction demonstrates several key trends in the government solutions M&A environment:

  • Premiums are placed on acquisition targets that have a highly cleared employee base and can provide access to difficult to penetrate and highly coveted National Intelligence Agencies
  • Strategic buyers continue to place value on companies that provide capability synergies and present long-term growth opportunities with enhanced profitability
  • Diversity in strategic buyers are continuing to increase and providing additional options for selling companies

 

Press Release

 

ADG Creative to Be Acquired by Chenega Corporation

Acquisition Will Give ADG Access to a Broader Range of Clientele, While Expanding Chenega’s Digital Transformation, Innovation, and User-Centered Design Capabilities

COLUMBIA, MD (December 12, 2017) – ADG Creative, a Columbia, Maryland-based strategic communications and innovations agency, announced today that it has signed a definitive agreement with the Chenega Corporation to become the newest company in Chenega’s portfolio of professional services organizations.

ADG Creative provides the Department of Defense, U.S. Intelligence Community, and commercial clients with a range of strategic and user experience solutions that address business, cultural, and technology challenges. ADG’s capabilities include strategic communications, advanced data visualization, branding & positioning, training & immersive learning, video & motion, content marketing, and interactive design.

“ADG’s strategy-first approach will enhance Chenega’s offerings and the solutions we can deliver to our customers,” said John “JC” Campagna, President of Chenega’s MIOS Business Unit. “There is a critical need for digital transformation throughout the Federal government, and the addition of ADG will help ensure that Chenega is there to meet that need.”

Chenega, an Alaska Native Corporation (ANC), is the program’s most successful Village Corporation, with diverse capabilities that support a myriad of customer requirements across more than 250 federal contracts and numerous commercial engagements. In addition to its Military, Intel, and Operations Support capabilities, the Chenega Corporation provides expertise and services in the areas of Security, Environmental, Healthcare, Facilities, Professional Services, Communications, and Data Science.

“Joining an organization like Chenega makes perfect sense in ADG’s evolution. The move will make us part of a global company, day one, and will enable us to pursue bigger opportunities and solve harder issues for the clients we serve,” said ADG Founder and Chief Creative Officer Jeff Antkowiak. “The acquisition is strategic for both companies, allowing ADG to connect our talented team of engineers, designers, and strategists with more government and commercial organizations, and positively impact them with the strength of the entire Chenega organization.”

The acquisition is subject to customary closing conditions and approvals, and is scheduled to close in January. Upon closing, ADG Creative will become a wholly-owned subsidiary of Chenega Corporation.

The firms were introduced by their respective representatives at RSM/McGladrey. Holland & Knight served as external legal counsel to ADG Creative, and Hunton & Williams served as counsel and advisor to Chenega. KippsDeSanto served as ADG’s investment banker and advisor through the engagement.

Learn more about the acquisition and both organizations at www.adgnext.com.

About ADG Creative

ADG Creative is a leading digital strategy and innovations agency providing solutions for cultural and technology challenges in the government and commercial sectors. The firm’s capabilities center around workforce anthropology, design thinking, and software engineering, with noted accomplishments in the areas of advanced application engineering, data visualization, corporate strategy, design and branding, interactive and digital learning development, and simulation and video. ADG is headquartered in Columbia, MD, is privately-held, just celebrated its 25th year in business, and is home to nearly 85 talented “Creatives.” The firm is a Smart CEO Future 50 Award winner, District and Regional ADDY winner, has ranked on the Inc. 5000 numerous times, and has been recognized as a “Best Place to Work” by Baltimore Magazine. For further information, visit www.adgcreative.net.

About Chenega MIOS

MIOS is Chenega’s Military, Intelligence and Operations Support (MIOS) strategic business unit (SBU), a shared services division of the Chenega Corporation which provides standard business services to the Chenega subsidiaries and assists in the management of contracts. Headquartered in Lorton, Virginia, the MIOS SBU provides shared support services, including human resources, recruiting, contracting, marketing, administration, finance and accounting, business development and security, allowing each company to focus on their customers in their day-to-day operations. www.chenega.com/mios

 

FOR IMMEDIATE RELEASE

Contact:

Caitlin Wolf
caitlinrwolf@gmail.com
410.935.2363

 

ADG Creative to Be Acquired by Chenega Corporation Press Release

KippsDeSanto & Co. Advises Dominion Consulting Inc. on its Merger with TeraThink Corporation

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KippsDeSanto & Co. is pleased to announce the merger of our client, Dominion Consulting Inc. (“Dominion” or the “Company”) with TeraThink Corporation (“TeraThink”).

Dominion is a leading technology and management consulting firm focused on delivering agile-based enterprise application and Information Technology (“IT”) solutions to government and commercial clients. TeraThink is a nimble, resourceful team of IT and management consultants that’s purpose-built to help clients drive real, rapid progress and make sustainable improvements that lead to greater operational success. The combination of these two leading firms brings exceptional scale and value to support customer transformation, automation, and mission goals through expertise in agile development, enterprise application technologies, and cloud computing.

Dan Maguire, President of Dominion, will transition to Chief Executive Officer of TeraThink. Tim Spadafore, Chief Operating Officer of Dominion, will become the President and Chief Operating Officer of TeraThink. The newly formed company will assume the TeraThink brand going forward and double its size to $80 million in annual revenue.

We believe this merger demonstrates several key trends in the government services M&A environment:

  • Larger companies with additional resources and past performance can better compete in the unrestricted government contracting environment.
  • Consolidation of the government services industry continues to occur, as firms look to restructure and reposition within critical government areas and customers.
  • Value continues to be placed on companies with established client relationships, strong past performance, and solid revenue visibility.
  • Ample capital is available for government services contractors.

TeraThink Corporation and Dominion Consulting Announce Merger (November 2, 2017)

TeraThink Corporation (TeraThink) and Dominion Consulting (Dominion) today announced a definitive merger agreement in which TeraThink will remain the surviving corporate entity. The merger of equals combines complementary capabilities, experience and commitment to excellence on a much broader platform that yields enhanced service delivery to customers. It brings exceptional scale and value to support customer transformation, automation, and mission goals through expertise in agile development, enterprise application technologies, and cloud computing. The newly formed company will double its size to $80 million in annual revenue evenly allocated across defense and federal civilian customers including Washington Headquarter Services, The Joint Staff, DLA, DOJ, DHS, and USDA.

Paul Lombardi, chief executive officer of TeraThink, will transition to chairman of the board of directors as a result of the transaction. Dan Maguire, president of Dominion, will become the new chief executive officer of TeraThink, and Tim Spadafore, chief operating officer of Dominion, will serve as the president and chief operating officer.

“This merger brings together two like-minded companies, and their employees, to better serve and transform the missions of our customers,” said Lombardi. “We share a vision of an excited and innovative workforce, steeped in capability, who will stop at nothing to drive successful outcomes for our customers. I’m absolutely thrilled for what the future holds for TeraThink.”

“I could not be more excited about the prospects of the new TeraThink,” said Maguire. The combination of TeraThink and Dominion results in an employee-first company comprised of great people driven to deliver high-value, innovative solutions to our federal customers. I truly believe through our combined work force, we are poised to lead and tackle the toughest problems in the market today.”

TeraThink will remain a privately held corporation. Houlihan Lokey acted as exclusive financial advisor to TeraThink on this transaction, and KippsDeSanto served as exclusive advisor to Dominion.

About TeraThink Corporation

Headquartered in Reston, VA, TeraThink is an exceptionally nimble, resourceful team of information technology and management consultants that’s purpose-built to help our clients drive real, rapid progress and make smart, sustainable improvements that lead to less stress and greater operational success. Our seasoned consultants are 100% focused on our government clients, and have a proven track record collaborating with them to dramatically reduce cycle times, do more with less, lower error rates, simplify processes, save money, and equip every client to focus more energy and resources on accomplishing their missions. That’s why we can provide a reference from every organization we’ve ever worked, and why we’re one of the fastest-growing technology and management consulting firms in the U.S. We exist to continuously provide answers that move our clients further and faster – and advance the great things they do for our country and every U.S. citizen. For more information, please visit www.terathink.com.

About Dominion Consulting

Dominion Consulting Inc, headquartered in Reston, VA, is a technology and management consulting firm that connects ideas with innovative solutions to help organizations get from where they are now to where they want to be. Dominion’s people possess the exceptional knowledge of technology, agile thinking and strategic vision needed to help its clients make better decisions and achieve their goals. Dominion is forward-thinking; delivering high-value business transformation services to public and private sector clients that help them adapt to change and evolve into the future. For more information, please visit www.dominionconsulting.com.

KippsDeSanto & Co. Advises Whitney, Bradley, and Brown, Inc., a portfolio company of Lake Capital, on its Sale to an affiliate of H.I.G. Capital

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KippsDeSanto & Co. is pleased to announce the sale of Whitney, Bradley, and Brown, Inc. (“WBB” or the “Company”), a portfolio company of Lake Capital, to an affiliate of H.I.G. Capital.

Headquartered in Reston, VA, WBB is an industry-leading provider of next-generation full lifecycle management consulting services and mission support across the Department of Defense (“DoD”), civilian, and health markets.  The Company delivers its capabilities using a differentiated business model supported by highly-cleared Subject Matter Experts and on-site technical staff to address complex and continuously evolving mission requirements for highly-visible Programs of Record (“PoR”), Special Access Programs (“SAP”), and enduring platforms.

Since its founding in 1981, WBB has built a reputation as a leading, trusted advisor and mission-enabler for Federal customers.  The Company provides highly-flexible and sustained support tailored to meet specific customer needs and multi-faceted organizational challenges through operational capabilities development, acquisition and program support, advanced analytics, and mission performance.  With historically deep ties across the DoD, the Company has leveraged its vast institutional knowledge and has been successful in expanding its presence across the DoD, the Department of Homeland Security (“DHS”), and the Department of Veterans Affairs (“VA”).

We believe this transaction demonstrates several key trends in the government services M&A environment:

  • Value continues to be placed on companies with mission-critical capabilities and support for PoRs, SAPs, and enduring platforms to capitalize on budgetary tailwinds and technology modernization priorities
  • Deeply-entrenched customer relationships with senior leadership and key program personnel provide significant insight into continuously evolving mission requirements
  • Private equity firms continue to leverage strong credit markets and remain active in the government services space to compete alongside strategic buyers for coveted assets

 

Press Release

 

H.I.G. Capital Completes Acquisition of WBB, Inc.

November 14, 2017 – H.I.G. Capital (“H.I.G.”), a leading global private equity investment firm with $24 billion of equity capital under management,* is pleased to announce that one of its affiliates has acquired Whitney, Bradley & Brown, Inc. (“WBB” or the “Company”).

Headquartered in Reston, VA, WBB is a leading provider of program management and consulting services to the U.S. Department of Defense and other federal agencies. WBB’s highly specialized and experienced workforce provides services across the full lifecycle from program development to ongoing support and mission performance.

Robert Olsen, CEO of WBB, remarked, “We are excited to announce our affiliation with H.I.G. Capital. H.I.G. brings to the table a wealth of knowledge and resources. We’re looking forward to leveraging these resources to accelerate the execution of our growth strategy while expanding our ability to provide mission critical, best-in-class solutions on behalf of federal agencies.”

“I’d like to congratulate Robert Olsen on his promotion to Chief Executive Officer and would also like to thank the Company’s retiring Executive Chairman Bill McMullen for his years of service,” said Jeff Zanarini, a Managing Director at H.I.G. “Bill and Robert have worked in tandem to position WBB as an integral partner to the Department of Defense and other federal agencies. We believe WBB’s existing services provide a strong foundation and are looking forward to working with the team to expand WBB’s capabilities through organic investments and complementary acquisitions as we embark on this exciting next chapter of growth.”

About WBB

Whitney, Bradley & Brown (“WBB” or the “Company”) is a leading provider of program management and consulting services to the U.S. Department of Defense and other federal agencies. WBB’s highly specialized and experienced workforce provides services across the full lifecycle from program development to ongoing support and mission performance. WBB was founded in 1981 and employs nearly 500 FTEs, including over 100 subject matter experts (“SMEs”) with an average tenure in excess of 20 years. Half of the Company’s advisors, consultants and SMEs are veterans and 75% have security clearances. The Company has a proven 25+ year history on programs of record that are vital to national security interests. Headquartered in Reston, Virginia, WBB is an ISO 9001-registered company with employees operating at seven strategically-located facilities across the country. For more information, visit https://wbbinc.com/.

About H.I.G. Capital

H.I.G. is a leading global private equity and alternative assets investment firm with $24 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Mexico City and Rio de Janeiro, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused / value-added approach:

1.H.I.G.’s equity funds invest in management buyouts, recapitalizations and corporate carve-outs of both profitable as well as underperforming manufacturing and service businesses.

2.H.I.G.’s debt funds invest in senior, unitranche and junior debt financing to companies across the size spectrum, both on a primary (direct origination) basis, as well as in the secondary markets. H.I.G. is also a leading CLO manager, through its WhiteHorse family of vehicles, and manages a publicly traded BDC, WhiteHorse Finance.

3.H.I.G.’s real estate funds invest in value-added properties, which can benefit from improved asset management practices.

Since its founding in 1993, H.I.G. has invested in and managed more than 300 companies worldwide. The firm’s current portfolio includes more than 100 companies with combined sales in excess of $30 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.

* Based on total capital commitments managed by H.I.G. Capital and affiliates.

KippsDeSanto & Co. Advises JBS International, Inc. on its Sale to BlueCross BlueShield of South Carolina

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KippsDeSanto & Co. is pleased to announce the sale of our client, JBS International, Inc. (“JBS” or the “Company”) to BlueCross BlueShield of South Carolina (“BCBSSC”).

Headquartered in Rockville, MD, JBS is a provider of public health and social impact solutions focused on projects in support of critical Department of Health and Human Services (“HHS”) and other civilian agency, state government, and non-profit programs that enhance and protect the health and well-being of individuals and populations.  JBS plays a leading role in programs that are driving change in areas such as addiction and recovery, children and families, health IT, public health, workforce and education, and international development.  The Company provides a combination of consulting, professional, and information technology (“IT”) services to deliver innovative solutions for policy and program development, communications and integrated marketing, strategic planning, and survey research and evaluation.

BCBSSC, one of the most successful and respected BlueCross BlueShield plans in the country, acquired JBS in order to expand the capabilities and customer reach of The Celerian Group.  The Celerian Group is a portfolio of healthcare companies owned by BCBSSC, representing over 5,000 dedicated and trusted employees, that supports healthcare administration for the Federal government.

We believe this transaction demonstrates several key trends in the government and healthcare M&A environment:

  • Deep domain and subject matter expertise, particularly when coupled with long-term relationships, are critical differentiators for sellers in a crowded M&A market
  • Companies at the forefront of growing national and international health crises, such as the opioid epidemic, represent opportunities to achieve positive impact on multiple levels (the so-called “double bottom line”).
  • The marketplace remains bullish for companies that are positioned with prime contracts that are aligned with well-funded requirements and procurement opportunities within federal healthcare

 

Press Release

 

The Celerian Group Acquires JBS International

November 8, 2017 – The Celerian Group, an organization of companies that provides various administrative, information technology, training and program management services to state and federal government agencies, and a division of BlueCross BlueShield of South Carolina, recently acquired JBS International Inc., a Maryland-based organization. The acquisition adds expertise that complements the organization’s existing capabilities and expands the Celerian Group’s ability to offer even more wide-ranging, comprehensive technology and business management services to both the public and private sectors.

JBS has more than 30-years-experience providing a broad range of social science research, technical assistance and other mission execution services to the public sector. It specializes in addressing health and social challenges such as opioid addiction, HIV infection, immigration, education and issues related to aging. It also focuses on emerging trends in training medical providers, health systems reform, public health data exchanges, public health, behavioral health, social science research and information technology services.

Moreover, it has built its reputation on a broad offering of services such as data analytics, business process development, performance management, and strategic communications and creative services, including web and mobile development.

According to Bruce Hughes, president of the Celerian Group, strategic acquisitions such as this one demonstrate a commitment to exceptional customer value. He said, “Our customers come to us with complex business needs. Being able to more fully address those needs through one trusted business partner is cost-saving, simplifies the process and creates peace of mind that details are front and center.”

JBS will continue to be led by its co-founders and co-CEOs, Gail Bassin and Jerri Shaw. The company has 315 employees and will operate from its headquarters in North Bethesda, Maryland, as well as maintaining existing offices in Burlingame, California and Atlanta, Georgia.

About Celerian Group

Celerian Group is an organization of companies with more than 50 years’ combined experience in government programs administration and is a division of BlueCross BlueShield of South Carolina. The group has a well-established reputation for operational excellence, which optimizes performance and reduces costs, thus delivering exceptional value for its customers. It provides federal and state government agencies, as well as private companies, support in business process outsourcing, information technology, data analytics, training and project management services. This expertise includes information technology, claims processing, customer services and social science research functions.

KippsDeSanto & Co. Advises NES Associates, LLC on Its Sale to CSRA, Inc.

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KippsDeSanto & Co. is pleased to announce the sale of our client, NES Associates, LLC (“NES” or the “Company”), to CSRA, Inc. (“CSRA”).  NES is a leading global IT firm with expertise in enterprise networking, cybersecurity, infrastructure, and application architecture primarily to customers within the Department of Defense (“DoD”) and other Federal agencies.

Based in Alexandria, VA, NES provides full lifecycle IT solutions, which include IT infrastructure, network operations, telecommunications, data center, enterprise software, and cybersecurity support.  NES’ differentiated capabilities and domain expertise, in addition to the Company’s highly skilled, certified, and experienced employees, have led to deep relationships with DoD customers.  Notably, NES has in-depth experience with nearly every military base’s network infrastructure, both in and outside of the continental United States.

Through its acquisition of NES, CSRA expects to leverage the Company’s expertise and experience in defense telecommunications and infrastructure implementation to accelerate its growth through the pursuit of large IT modernization opportunities and to eliminate barriers to the adoption of next-generation IT.

We believe this transaction demonstrates several key trends in the government services M&A environment:

    • Public buyers are using M&A to strengthen strategic capabilities that improve positioning for future large-scale procurements.
    • There is a strategic emphasis on technical expertise around the “network” especially given its applicability to the reliable delivery of next-generation IT solutions.
    • Critical mass of experienced and high-end technical talent as evidenced by applicable certifications and accreditations is a differentiator amongst acquisition prospects.
    • Strategic buyers continue to utilize M&A to augment or add trusted customer relationships with agencies having mission critical IT needs and strong budget support.
    • Sizeable acquisition candidates having a proven track-record of growth and positive outlook remain in high demand.

KippsDeSanto & Co., member FINRA / SIPC, is not affiliated with other companies mentioned herein

Press Release

CSRA Completes Acquisition of NES Associates

 First Acquisition as a Public Company Will Enable CSRA to Compete More Effectively on Large IT Contracts

FALLS CHURCH, Va., July 5, 2017 /PRNewswire/ — CSRA Inc. (NYSE: CSRA) announced today it has completed the acquisition of NES Associates, a well-respected federal IT service provider. NES provides specialized expertise in enterprise networking, cybersecurity, infrastructure, and application architecture as well as implementation services to customers in the military and other federal agencies.

“I’m pleased we have closed on our first acquisition as a public company,” said CSRA President and CEO Larry Prior. “NES Associates will bring us innovative network engineering capabilities as we pursue large IT modernization opportunities in upcoming years, another example of how we live our tagline, ‘Think Next. Now.'”

“CSRA is a perfect fit for NES,” said NES founder and CEO Andy Gomer. “Our network engineering capabilities matched extremely well with CSRA’s opportunities and resources. Our companies have highly compatible cultures and a shared focus on serving our citizens and warfighters.  We are very excited to continue to serve our customers’ missions with so much added capability.”

CSRA President and CEO Larry Prior first announced the acquisition of NES during the Fiscal Year 2017 earnings call on May 24. During the call, Prior noted “NES’ deep understanding of the network that connects customers’ mission-to-compute will enable CSRA to eliminate many barriers to the adoption of next-generation IT. These digital transformation efforts rely on the availability of secure, resilient, high-bandwidth and low-latency networks that enable hyperscale infrastructures and accelerate the adoption of cloud operating models.”

By joining forces with NES, CSRA will accelerate the adoption of its next-generation digital solution offerings and intends to become the network transformation leader. The key innovations, talent, and past performance from NES also will significantly improve CSRA’s win probability on several very large pursuits across the company.

About CSRA Inc.

CSRA (NYSE: CSRA) solves our nation’s hardest mission problems as a bridge from mission and enterprise IT to Next Gen, from government to technology partners, and from agency to agency.  CSRA is tomorrow’s thinking, today. For our customers, our partners, and ultimately, all the people our mission touches, CSRA is realizing the promise of technology to change the world through next-generation thinking and meaningful results. CSRA is driving towards achieving sustainable, industry-leading organic growth across federal and state/local markets through customer intimacy, rapid innovation and outcome-based experience. CSRA has over 18,000 employees and is headquartered in Falls Church, Virginia. To learn more about CSRA, visit www.csra.com. Think Next. Now.

KippsDeSanto & Co. Advises InfoReliance Corporation on its sale to ECS Federal, LLC

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KippsDeSanto & Co. is pleased to announce the sale of our client, InfoReliance Corporation (“InfoReliance” or the“Company”), to ECS Federal, LLC (“ECS”). InfoReliance is a leading provider of next-generation information technology(“IT”) services including cloud computing, cybersecurity, enterprise IT, and software engineering services and solutions to the Department of Defense (“DoD”), Federal Civilian agencies, and select commercial customers.

Based in Fairfax, VA, InfoReliance deploys full life cycle cloud delivery and cloud solution development, offers advanced cybersecurity services facilitating predictive defense, develop efficient software solutions, and provides enterprise and line of business capabilities across all Chief Information Officer mission areas. InfoReliance’sunique as-a-service solutions offerings and skilled, experienced employees have led to deep relationships with DoD and Federal Civilian customers as well as strong partnerships with major industry leaders such as Amazon Web Services, Microsoft, and McAfee Inc.

Through its partnership with InfoReliance, ECS will enhance its ability to pursue cyber, cloud, enterprise IT, and software engineering opportunities across its robust portfolio of contracts, which includes Alliant, CIOSP-3, CIO-CS, NASPO Valuepoint, and OASIS. The addition of InfoReliance’s next-generation IT capabilities and new contract awards are expected to accelerate ECS’s transformation from a services provider to a systems integrator and solution provider for national defense and intelligence customers.

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

  • Buyers are focused on M&A as an effective strategy to access next-generation ITcapabilities including cybersecurity, cloud, and “as-a-service”
  • Mid-sized strategic buyers are increasingly focused on transformational acquisitions which provide synergies and a strong history of past performance with key government customers
  • Importance of relationships with key strategic partners that allow for the development, implementation, and support of full life cycle solutions

KippsDeSanto & Co. is an investment bank focused on delivering exceptional M&A and financing transaction results for leading aerospace, defense, and technology companies.  For more information on KippsDeSanto & Co., please visit www.kippsdesanto.com.

 

KippsDeSanto & Co., member FINRA / SIPC, is not affiliated with other companies mentioned herein

 

Press Release

ECS Federal Acquisition of InfoReliance

FAIRFAX, Va., April 18, 2017 /PRNewswire/ — ECS Federal, LLC “ECS” announced today the acquisition ofInfoReliance, a leading provider of cybersecurity, cloud computing, software engineering solutions and managed services.

George Wilson, CEO of ECS Federal said, “In the past five years ECS has transformed from a services company to a rapidly growing performer, systems integrator, and solution provider in the national defense and intelligence markets.The acquisition of InfoReliance will add $150M in new revenues delivering next generation cloud and cyber solutions at an enterprise scale. This, along with new contract awards has greatly accelerated ECS’s transformation.”

ECS is now providing cybersecurity solutions and active cyber defense to the Navy, Army, Department of HomelandSecurity, Department of Justice, Defense Health Agency and the Intelligence community. The acquisition of InfoReliance also expands ECS’s agile software delivery capability supporting the Navy, USMC, USPS, FBI, theIntelligence Community and DOL.

InfoReliance core leadership, operations and delivery teams will continue as a wholly owned subsidiary and together with ECS will pursue cyber, cloud, enterprise IT and software engineering opportunities. The companies will further invest in key strategic partnerships with Amazon Web Services, Microsoft, McAfee, and RSA Security. Together they bring more competition to commercial and government markets, in particular across ECS’s highly sought after GovernmentWide Acquisition Contracts (GWAC) including Alliant, CIOSP-3, CIO-CS, SEWP, NASPO Valuepoint and OASIS.

Andrew Butler, InfoReliance CEO, will join ECS as Senior Vice President and strategic advisor to Mr. Wilson. He stated,”We built our business over the past seventeen years by earning the trust of our customers through continuous innovation and a relentless commitment to their success. ECS’s culture, leadership, and equal commitment to the highest-standards is a perfect match and we couldn’t be more excited about the future for our employees, partners, and customers.”

Kipps DeSanto represented InfoReliance in the deal.

About ECS Federal, LLC

ECS has nearly 2,500 employees, C2017 revenues of over $500 million and is recognized as a Top Workplace by theWashington Post. ECS delivers systems, software and expertise supporting National Defense, cyber, cloud services and intelligence markets, holds CMMI Level 3, ISO 9001:2008, ISO/IEC 20000 and ISO/IEC 27000:2013 certifications and employs agile methodologies to deliver mission critical software. For more information, visit our web site at www.ecs-federal.com.

KippsDeSanto & Co. Advises Information Innovators, Inc. on Sale to Salient CRGT

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KippsDeSanto & Co. is pleased to announce the sale of our client, Information Innovators, Inc. (“Triple-i” or the “Company”), a portfolio company of DFW Capital Partners, to Salient CRGT, a portfolio company of Bridge Growth Partners and Frontenac Co.

Based in Springfield, VA, Triple-i is a leading provider of next generation solutions, including a full suite of health information technology (“HIT”) services, enterprise information technology (“IT”) solutions, and agile development capabilities focused on the needs of customers within the federal health, civilian, and defense markets. The Company’s full suite of services and capabilities include: HIT services, health services, software and systems engineering, cloud / data center solutions, IT management, and cybersecurity and data analytic solutions. Triple-i also has a broad portfolio of multi-billion dollar prime contract vehicles with attractive health-focused customer agencies, including positions on CMS’ SPARC, VA’s T4 NextGen, and NIH’s CIO-SP3.
Through its acquisition of Triple-i, Salient CRGT anticipates solidifying its position in the mid-tier federal IT services market, enabling it to compete amongst the large-scale professional service providers and providing it with new capabilities in HIT, IT infrastructure, network engineering, network operations management, and cloud services.

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

  • Mid-sized strategic buyers are increasingly interested in transformational acquisitions that provide synergies and present long-term growth opportunities
  • Premiums are placed on acquisition targets that provide complementary solutions within an expanded customer footprint, particularly for high-value customer markets such as HIT
  • Companies command greater acquisition interest when possessing a deep portfolio of prime contract vehicles from which to drive future growth

KippsDeSanto & Co. is an investment bank focused on delivering exceptional M&A and financing transaction results for leading aerospace, defense, and government technology companies.  For more information on KippsDeSanto & Co., please visit www.kippsdesanto.com.

 

KippsDeSanto & Co., member FINRA / SIPC, is not affiliated with other companies mentioned herein

 

Press Release

 

Salient CRGT Completes Acquisition of Information Innovators, Inc.

Combination Expands Capabilities in Healthcare IT Market, Increases Revenue to More Than $500M, and Employs 2200+ Experts in More Than 150 Locations Worldwide

FAIRFAX, VA – March 1, 2017 – Salient CRGT, Inc., a leading provider of agile software development, data analytics, mobility, cyber security, and infrastructure solutions, today announced the completion of its previously announced acquisition of Information Innovators, Inc. (“Triple-i”), a technology and mission-focused company serving the federal government, with a growing presence in the healthcare information technology market.

“From the beginning, acquisitions have been an important part of our strategy so as to position the company for growth and to ensure the right breadth of customers, capabilities and contracts. This is another major milestone for Salient CRGT, our investors and our customers,” said Brad Antle, Chief Executive Office, Salient CRGT. “Expanding our capabilities into healthcare IT and consulting will help expand our customer base in areas that have tremendous potential for growth and where Salient CRGT can bring capabilities that will make a significant difference to better support the missions of our customers. Our newly integrated company will have about a quarter of its business coming from healthcare, with another quarter from defense and intelligence, and the remaining 50 percent from the federal civilian sector.”

“The Triple-i executive team and employees are excited to join Salient CRGT. We recognize the unique opportunity that joining Salient CRGT presents for our customers, our market and our company,” said Steve Ikirt, President and Chief Executive Officer, Triple-i. “Coupling our solutions and services, experience and talented teams will provide maximum flexibility and value to our portfolio of high-profile agencies, including Health and Human Services, Department of Veterans Affairs, Defense Health Agency, and Department of Homeland Security.”
Throughout its history, Salient CRGT has been focused on delivering capabilities to customers that can help transform the way they are supporting their missions, while improving efficiency of operations and easing maintenance. The company’s focus on providing thought leadership and capacity around digital services, data analytics, cyber, mobility, cloud and ITSM, enable customers to leverage their resources to achieve maximum results.

“Salient CRGT has a long and successful track record, dating back more than 30 years, of providing leading edge technology to solve our customers’ problems,” said Tom Ferrando, President, Salient CRGT. “Our legacy sits on a foundation of critical technologies that support the transformation of how our customers support their missions such as agile and data analytics. A majority of Triple-i’s professionals are focused on healthcare services. The combination of the two companies sets the path to provide healthcare analytics to a broad range of customers as we look to cover the entire spectrum of what healthcare agencies require in today’s challenging environment. Our plan within the next three months is to roll out a full range of new and exciting analytics and business intelligence services to meet current and future demands in these agencies.”

“This acquisition provides us with the next vital piece in the long-term plan that we envisioned years ago. We can now aggressively pursue opportunities from pure IT services to mission critical applications, and from domain-specific health services to community care outreach programs. I can’t imagine a problem that we would not be able to address for our healthcare agency customers. We are looking forward to this exciting next chapter of our company,” said Ferrando.

Terms of the transaction were not disclosed. RBC Capital Markets and Sagent Advisors served as Salient CRGT’s financial advisors, and KippsDeSanto & Co. served as Triple-i’s financial advisor. Willkie Farr & Gallagher LLP and Garvey Schubert Barer served as legal advisor for Salient CRGT. Holland & Knight served as legal advisor for Triple-i.

About Salient CRGT
Salient CRGT provides agile software development, data analytics, mobility, cyber security and infrastructure solutions. We support these core capabilities with full lifecycle IT services and training—to help our customers meet critical goals for pivotal missions. We are purpose built for IT transformation supporting federal civilian, defense, homeland, and intelligence agencies, as well as Fortune 1000 companies. We use the most innovative talent delivery model in the industry, scientifically providing exactly the right people for the customers’ most pressing requirements. Salient CRGT has earned a record of success with integration and operations of large?scale, high?volume solutions. For additional information on Salient CRGT, visit www.salientcrgt.com.

About Information Innovators, Inc.
Information Innovators Inc. (Triple-i) delivers solutions and services to IT and health-focused clients across the federal government. The Company defines, develops, and implements innovations that help solve its customers’ hardest problems while saving them money, modernizing their systems, and achieving their mission objectives.

Triple-i serves federal departments including Health and Human Services, Veterans Affairs, Homeland Security, Defense, Commerce, Transportation, Education, Housing and Urban Development, and the Intelligence Community through its core capabilities—enterprise IT services, cloud and hosting solutions, cyber security, software development and implementation, data and analytics, and health services. For more information, visit www.iiinfo.com.

About Bridge Growth Partners
Bridge Growth Partners, LLC brings together significant investment, financial, operating and strategic business building expertise and talent for the purpose of investing in carefully selected, growing and important segments of the technology and technology-enabled financial services sectors. For more information, visit www.bridgegrowthpartners.com.

About Frontenac
Frontenac is a leading private equity firm based in Chicago. The firm focuses on investing in lower middle market buyout transactions in the food, industrial, and services industries. Frontenac works in partnership with proven operating leaders, through our executive-centric approach called CEO1st®, to identify, acquire, and build market leading companies through transformational acquisitions and operational excellence. The firm has built a leading franchise working with over 225 owners of mid-sized businesses, almost always families or founders, as they address complex transition issues of liquidity, management enhancement, and growth planning. For more information, please visit www.frontenac.com.

About DFW Capital Partners
DFW Capital Partners is a private equity investment firm focused on lower middle-market companies. The firm concentrates on service companies, with an emphasis on healthcare and outsourced business and industrial support services. DFW has established a 20+ year track record of success in both building leading companies, and recognizing outstanding returns for its investors. DFW is headquartered in Teaneck, NJ, and maintains an office in Chevy Chase, MD.

Media Contact:
Kari Walker for Salient CRGT, Inc.
(703) 928.9996
Kari@kariwalkerpr.com