Government & Public Sector Acquisitions in 2023

Dexis Consulting Group, a ~500-person Washington, D.C.-area professional services firm supporting U.S. foreign assistance programs, has partnered with CM Equity Partners for a growth capital investment to scale its federal civilian business. Dexis' management team and board remain in place; the capital will support expansion of social impact work across additional federal agencies including disaster recovery, public health, climate, and AI-enabled citizen services.

The Swift Group, LLC has acquired OPS Consulting, a provider of mission-critical data analytics, high-performance computing, and threat mitigation services supporting the U.S. Intelligence Community and Department of Defense. The deal will enable Swift to expand its capabilities and service offerings for national security customers and accelerate OPS Consulting's growth under the combined organization.

San Antonio-based tech startup Irys has acquired Diversified Technical Services Inc. (DTSI), a longtime defense contractor now operating as a DTSI business unit of Irys. The all-cash deal preserves DTSI's name, its existing defense-sector contracts and roughly 60 employees, and gives Irys immediate past performance and capabilities to expand into government and DoD contracting.

FieldWare, a Chicago-based provider of criminal justice software, has acquired Orion Communications, a Dallas-headquartered operational workforce management SaaS provider for public safety agencies. The acquisition will add Orion's scheduling, payroll and asset-management SaaS capabilities to FieldWare's case management and remote check-in solutions to expand its public-sector product suite; financial terms were not disclosed.

MCCi, a portfolio company of Century Park Capital Partners, has acquired GovBuilt, a Manhattan, Kansas–based low-code/no-code case management and community development platform for government agencies. The add-on acquisition expands MCCi’s GovTech product suite and aims to accelerate product integrations and deployments for state and local government clients.

Greater Sum Ventures (GSV) has made a majority investment in Utility Associates, Inc., a Decatur, Georgia–based provider of digital evidence management, body-worn and in‑car video systems for law enforcement and first responders. Prior backer Hicks Holdings LLC will remain a minority investor and PSG Equity joins as a new minority investor; the capital will be used to accelerate product innovation and growth.

Precise Systems, a Bluestone Investment Partners-backed government services platform, has acquired Excet, Inc., a Springfield, Virginia-based provider of physical sciences research and engineering services to the U.S. Department of Defense. The deal, which closed on November 10, 2023, expands Precise’s capabilities in CBRNE, biotechnology, chemistry and related physical-sciences support for Army and Navy customers and represents Precise’s first acquisition since Bluestone’s investment earlier in 2023.

Arlington Capital Partners has acquired Avenu Insights & Analytics, a provider of revenue enhancement, payment and administrative software and services for state and local governments, from Mill Point Capital. The company, headquartered in Centreville, Virginia, employs over 600 people and will continue to be led by CEO Paul Colangelo as Arlington looks to invest in product expansion and inorganic growth.

Full Guard Capital has partnered with Perimeter Insect Guard in a recapitalization transaction announced in August 2023, with subordinated debt and equity provided by Tecum Capital and Spring Capital Partners to support the deal. Perimeter, headquartered in Taylorsville, Mississippi, is the largest provider of insecticide treatment services for military uniforms and will continue to be led by management following the transaction.

LeadsOnline LLC, a Plano-based provider of data and investigative technology for law enforcement, has acquired Forensic Technology Inc., the creator of the IBIS ballistic identification system, from Ultra Electronics. The deal brings together complementary forensic imaging and ballistic-identification capabilities, expands LeadsOnline's international footprint, and will operate under LeadsOnline's leadership with Forensic Technology management remaining in place.

Accela, a provider of cloud-based government software, received a strategic growth investment from Francisco Partners while Berkshire Partners remains a significant, equal equity investor. The undisclosed capital will be used to accelerate Accela's product and market growth as the company expands its civic cloud platform for state and local governments.

GCOM, a Sagewind Capital–backed provider of SaaS and technology solutions to state and local governments, has merged with OnCore Consulting, a California-based public sector IT consulting firm. The transaction (supported by a $175 million financing facility with participation from an affiliate of Paceline Equity Partners) expands GCOM's capabilities and presence in the public sector and represents an add-on to the GCOM platform.

ARETUM, a Renovus Capital Partners-backed government contracting platform based in Bethesda, Maryland, has acquired Artemis Consulting, Inc., a McLean, Virginia-based prime contractor that provides IT and management services to federal agencies. The acquisition is an add-on to expand ARETUM's cloud enablement, agile/DevOps, and legacy modernization capabilities for Department of Defense, Department of Homeland Security and other federal clients.

NewSpring Holdings, the majority investment strategy of private equity firm NewSpring, has acquired Bridge Core, a provider of visual intelligence, cybersecurity, and technical solutions to the U.S. intelligence community. NewSpring intends to use Bridge Core as the foundation of a buy-and-build platform, supporting disciplined M&A and organic growth to create a full‑spectrum, technology‑enabled intelligence company.

IMB Partners, a middle-market private equity firm, has made a strategic investment in eTelligent Group, a provider of digital transformation, DevSecOps, PMO and cybersecurity services to the U.S. federal government. The partnership will provide eTelligent Group with capital and operational support to scale organizational capabilities, pursue larger contracts, diversify its customer base beyond the IRS, and explore acquisitions.

Broadtree Partners, a Charlotte-based middle-market private equity firm focused on government contracting, has acquired Joint Research and Development (JRAD). JRAD will join Broadtree's GovCon platform alongside Sayres Defense, with Tim Reardon (CEO of Sayres Defense) leading the combined businesses and JRAD COO Terri Hague becoming President of JRAD.

GovExec, the market-leading sales and marketing intelligence company for government leaders and contractors, has acquired The Advanced Technology Academic Research Center (ATARC). The transaction was completed with financial support from Growth Catalyst Partners (GCP); ATARC will remain an independent division led by Tom Suder and will leverage GovExec's data (including GovTribe intent data) to expand into additional government markets, including state, local, and defense.

PayIt, a GovTech provider of digital customer experience and payments for state and local governments, has entered into a definitive agreement to acquire Sovereign Sportsman Solutions (S3), a conservation and outdoor-recreation licensing and permitting technology provider. The acquisition expands PayIt's product set to include outdoor recreation licensing, permitting, and volunteer/event management solutions and is expected to close by the end of May.

Bluestone Investment Partners, a McLean, Virginia-based private equity firm, has made a strategic growth investment in Precise Systems, Inc., a Lexington Park, Maryland-based provider of engineering, program management and software development services to the U.S. Department of Defense. The transaction supports management continuity (Scott Pfister named CEO) and is intended to accelerate growth and enable strategic M&A to expand Precise Systems' capabilities and reach across DoD customers.

Renovus Capital Partners announced the formation of Aretum, LLC — a new government services platform — and Aretum has acquired Arlington, VA-based Miracle Systems, LLC. Miracle joins Renovus portfolio company Panum Telecom within Aretum to create a larger mid-tier provider of management consulting, mission support and technology solutions to DoD, DHS and federal civilian agencies.

Tyler Technologies, a provider of software and technology services to the public sector, has acquired Safeground Analytics, a New England–based real estate appraisal and assessment services firm. The acquisition brings Safeground’s appraisal, reassessment, litigation support, auditing, and assessor-education capabilities into Tyler’s Property & Recording Division to strengthen and expand Tyler’s appraisal services offerings nationwide.

Chicago-based private equity firm Monroe Street Partners has completed the acquisition of Vigilnet America LLC, an Omaha-headquartered provider of electronic offender monitoring services. The acquisition will support Vigilnet's growth initiatives and Monroe Street's plans to build a portfolio in business services and accelerate strategic add-on acquisitions.

HdL Companies acquired key assets from North Carolina–based DataMax Corporation, a firm specializing in revenue identification and recovery for local governments. DataMax will operate as an affiliate of HdL, expanding HdL's software and tech-enabled services to serve more municipalities across the United States.