Enlightenment Capital announced that it has made an investment in Telos Corporation, a provider of cyber security solutions and services to government, military, intelligence, and commercial clients. Enlightenment Capital is a DC-based private equity firm focused in the aerospace, defense, and government sectors. Deal terms were not disclosed.
Red Hawk & Security LLC announced that it has acquired Integrated Systems of Florida (ISOF). Based in Tampa, Florida, ISOF is a systems integration company serving customers in healthcare, government, religious and educational institutions. Red Hawks is owned by Comvest Partners which acquired the business from United Technologies Corporation in 2012. Deal terms were not disclosed.
Veritas announced that it has agreed to acquire Harris Corporation's Government IT Services Business for $690 million in a deal that is expected to close by July. Based in Herndon, Virginia and with projected fiscal 2017 revenue of $1.07 billion, the business provides IT and engineering managed services to government agencies including NASA. Harris' air traffic management business supporting the FAA is not part of the divestiture. Macquarie Capital is the financial advisor to Veritas on this transaction.
Octo Consulting Group announced that it has acquired the SeaPort-e business of Aquilent. Aquilent was required to divest the business prior to its sale to Booz Allen Hamilton in order to remedy potential OCI issues. As part of the acquired business, Octo will be responsible for supporting the SeaPort-e portal which is the platform used to solicit offers among the over 2,400 SeaPort-e IDIQ contract holders. Deal terms were not disclosed.
Booz Allen Hamilton announced that it has closed its previously announced deal for the acquisition of eGov Holdings Inc. (dba Aquilent). With about 310 employees, Aquilent provides digital, agile, DevOps, and cloud capabilities and is projected to add approximately $20 million of revenue through the rest of Booz Allen's fiscal year ending March 31, 2017. Aquilent's clients include the US Department of Health and Human Services, US Postal Service, and GSA. Prior to closing, Aquilent divested its Navy SeaPort-e Portal contract to Octo Consulting Group in order to resolve potential OCI issues.
Belcan LLC, a portfolio company of AE Industrial Partners LLC (AEI), announced that it has acquired The Kemtah Group. Based in Albuquerque, New Mexico, Kemtah provides various IT services including software/application development, cybersecurity, and mobility support. The deal marks the fourth acquisition Belcan has completed since AEI acquired the company 18 months ago. PricewaterhouseCoopers served as financial advisor to Belcan and AEI, while Bluestone Capital Partners represented Kemtah. Deal terms were not disclosed.
MacAulay-Brown Inc. (MacB) announced that it has acquired Enlighten IT Consulting (EITC), a provider of secure cloud engineering, big data analytics, and software solutions in the Defense, Intelligence, and Commercial markets. EITC's customers include US Army Cyber Command, DISA, and US Cyber Command. The company's offering include its Rapid Analytic Deployment and Management Framework, network operations monitoring, cyber threat detection and mitigation, and insider threat identification.
EITC will continue to operate as a wholly-owned subsidiary of MacB. Deal tearms were not disclosed. Bluestone Capital Partners served as the financial advisor to EITC.
ManTech International Corporation announced that it has acquired Edaptive Systems LLC, a provider of IT solutions primarily to federal health agencies including the Centers for Medicare & Medicaid Services. Based in Owings Mills, Maryland and with over 250 employees, Edaptive has core competencies including agile software development, testing and automation, business intelligence, data abstraction and IT services. Deal terms were not disclosed.
Testing service provider PSI Services LLC announced that it has acquired Computer Assisted Testing Service (CATS), a provider of computer-based examinations for organizations involved in licensing and certification testing. According to the press release, both CATS and PSI have a strong presence within the Federal Aviation market. Deal terms were not disclosed.
Booz Allen Hamilton announced that it has agreed to acquire digital services firm eGov Holdings Inc. (dba Aquilent) for a purchase price of $250 million. Aquilent is an architect of .gov solutions for the Federal government and provides digital, agile, DevOps and cloud capabilities to customers including the Department of Health and Human Services, US Postal Services, and GSA. The company has grown significantly at a 28 percent CAGR over the last few years and its expected to add between $30 million to $35 million in revenue to the rest of Booz Allen's fiscal year, which suggests an annual revenue of approximately $120 million to $140 million.
An interesting historical tidbit: Aquilent was originally acquired from Commerce One after the dot-com bubble in the early 2000's.
The transaction is expected to close by December 31, 2016. Houlihan Lokey served as the financial advisor to Aquilent.
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