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. 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. 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. 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

KippsDeSanto & Co. is pleased to announce the sale of our client, Edaptive Systems, LLC (“Edaptive” or the “Company”) to ManTech International Corporation (“ManTech”).  This deal closed December 15th and marked KippsDeSanto & Co.’s fourth healthcare-related transaction of 2016.

Headquartered in Owings Mills, MD, Edaptive is a leading provider of Federal healthcare IT (“HIT”), serving primarily, the Centers for Medicare and Medicaid Services (“CMS”).  Over the last 17 years, Edaptive has delivered priority solutions around software engineering, data abstraction, and business intelligence, that align with its customers’ core initiatives and programs.  The Company has developed trusted relationships across well-funded health agencies and departments.  Leveraging its past performance and reputation for efficiently solving complex technical challenges, the Company recently captured a prime position on the $25 billion indefinite delivery, indefinite quantity (“IDIQ”) CMS Strategic Partners Acquisition Readiness Contract (“SPARC”).

This acquisition augments ManTech’s IT capability set and footprint at CMS.  The investment further enhances ManTech’s competitive position to capitalize on mission opportunities at CMS and HHS more broadly.  We believe this transaction demonstrates several key trends in the government services M&A environment:

• Continued strong strategic interest around HIT, the technology capabilities in the HIT ecosystems, and the customers (e.g., HHS, VA, military health) that support those well-funded missions
• Attractiveness of scalable IT capabilities, both next generation and more traditional
• Strategic buyer interest for highly focused firms, possessing a clear identity and track-record from a customer and / or capability perspective

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