IT Services Acquisitions in 2022

Digital Intelligence Systems, LLC (DISYS) has acquired LinTech Global, Inc., a federal prime contract holder that delivers IT and engineering solutions to U.S. defense and civilian agencies. Greenwich Capital Group served as financial advisor to LinTech; LinTech will operate as an independent business division within the DISYS portfolio to expand DISYS' federal workforce, IT and cybersecurity capabilities.

Bridgepointe Technologies, backed by Charlesbank Capital Partners, has acquired PPT Solutions to expand its customer experience (CX) consulting and contact-center capabilities. PPT Solutions — a CX and contact-center consulting and managed services provider with ~55 employees — will operate as a Bridgepointe company to broaden Bridgepointe's tech advisory and managed services offering.

Sourcepass has acquired Contemporary Computer Services, Inc. (CCSI), a Bohemia, New York-based co-managed IT services provider with approximately 65 employees. The acquisition expands Sourcepass's co-managed services capabilities, strengthens its presence in the Northeastern U.S. and education and public-sector verticals, and brings additional midmarket and enterprise contracts into its portfolio.

IT Voice, a multi-location MSP and portfolio company of Baymark Partners, has acquired (b:ok) Network Infrastructure Services LLC (also known as Bytes of Knowledge), a longtime MSP based in Nashville, Tennessee. The transaction, advised by Viking Mergers & Acquisitions, is an add-on to expand IT Voice's regional footprint and capabilities while preserving the target's management legacy.

Investcorp has agreed to make a significant investment to become majority shareholder in Eficode, a Helsinki-based DevOps consulting and managed services provider. The partnership will support Eficode's international expansion and further organic and acquisitive growth while the founder and management remain significant shareholders.

Bluewave Technology Group, a Parsippany, New Jersey-based technology advisory and lifecycle management firm, has acquired Compass Solutions, an IT and telecom advisory agency headquartered in Cuyahoga Falls, Ohio. The acquisition expands Bluewave's technology advisory and multi-location retail capabilities and brings the Compass team and founder Marty Lyman into Bluewave as an Ambassador and equity partner.

AVI Systems, a global audiovisual systems integrator, has acquired Neurilink, a full-service audiovisual design and integration firm with offices in Boise, Idaho and Seattle. The deal (which brings Neurilink’s ~47 professional staff into AVI) expands AVI’s service footprint across the U.S. Northwest to better serve AV and unified collaboration needs in that region.

WNS (Holdings) Limited has acquired London-based The Smart Cube and Warsaw-based OptiBuy to strengthen its procurement, supply chain analytics, and procurement platform implementation capabilities. The Smart Cube deal was valued at $125.0 million (including earn-outs) and adds ~800 employees and analytics platform capabilities; OptiBuy was purchased for €30.0 million (including earn-outs) and brings ~90 employees and European procurement platform expertise.

Fresno-based managed IT provider Xobee Networks has acquired San Jose IT firm Myers Network Solutions in a transaction reported at $1.7 million. Xobee will retain the entire Myers staff and use the acquisition to expand its managed IT, cloud, cybersecurity, and networking services into the San Jose market.

Rosewood Private Investments portfolio company General Informatics has acquired VAZATA's Managed Services Division. VAZATA will continue to operate its data center facilities while the managed services business is folded into General Informatics to expand the buyer's Texas presence and managed services capabilities.

Valiantys, a global Atlassian partner backed by Keensight Capital and Tercera, acquired St. Louis-based Expium LLC to expand its U.S. presence and broaden its Atlassian, DevOps, and custom-application capabilities. The deal combines Expium's expertise in custom application development and DevOps integration with Valiantys' global reach and managed-services platform.

The Halifax Group completed a control investment to acquire a majority interest in Milestone Technologies from H.I.G. Capital, with H.I.G. retaining a minority stake. Two Sigma Impact made a minority investment alongside Halifax, and Milestone's existing management team, led by CEO Sameer Kishore, will remain invested and continue to lead the company as it pursues further global growth in IT managed services.

Gemspring Capital Management affiliate has acquired a majority interest in Amplix, a Norwood, Massachusetts-based provider of technology advisory services and software formed from the merger of ROI Communications, Blue Front Technology Group, and allConnex. Gemspring will partner with Amplix's management to scale the business, accelerate growth, and expand the company's technology advisory, managed services, cloud, and data center capabilities.

Apogee (Austin, Texas), a managed technology services provider for higher education, has acquired Cumulus Technology Services Inc., a Ventura, California-based specialist in secure cloud services for higher education. The deal expands Apogee’s managed cloud, security, and ERP/LMS integration capabilities (including AWS expertise and backup/DR services) to accelerate cloud-managed offerings for colleges and universities; terms were not disclosed.

GSI, Inc. has acquired Flawless Inbound Inc., a Diamond HubSpot Solution Partner based in Edmonton, Alberta, to expand GSI’s HubSpot practice and RevOps capabilities. Flawless’s leadership (CEO/co-founder Liliane Youssef) will continue to lead the business as President, and the combined organization will offer expanded HubSpot implementation, integrations, eCommerce, and ongoing support services to clients across North America.

Unosquare, a global digital engineering firm, has acquired Airship, a Birmingham-based custom software and mobile app development firm, to expand its onshore delivery capabilities and vertical specialization. The deal bolsters Unosquare’s U.S. delivery footprint as it continues scaling its nearshore and onshore engineering services.

Circular Edge, a global ERP and cloud consulting firm, has acquired Innovus Partners, a provider of Oracle Fusion Cloud Enterprise Performance Management (EPM) implementation and support services. The deal expands Circular Edge's EPM, BI and cloud transformation capabilities and is expected to close by January 1, 2023.

Adelis Equity Partners has become the new majority owner of Swedish IT services group Aderian to support accelerated organic growth and an active M&A strategy. Aderian, a decentralized group of local IT specialists focused on SME customers, will retain significant ownership by entrepreneurs and management and is expected to reach c. SEK 1 billion in revenue with ambitions to triple revenue over five years.

Hinduja Global Solutions Limited (HGS) has agreed to acquire 100% of TekLink International, Inc. for US$58.8 million (subject to earnouts and adjustments) and has signed a non-binding LOI to acquire uKnowva, a cloud-based HRMS product business from Convergence IT Services Ltd. The deals expand HGS's digital capabilities across data & analytics, financial planning, and HR technology, and will add roughly 275 TekLink professionals and 75+ uKnowva employees to HGS's digital bench.

DLH Holdings Corp. (NASDAQ: DLHC) acquired privately held Grove Resource Solutions, Inc. ("GRSi") of Bethesda, Maryland for $185.0 million to strengthen DLH's information technology and cybersecurity capabilities for federal customers. GRSi, a federal-focused IT, systems engineering and cybersecurity provider with ~700 employees, is expected to contribute approximately $140 million of annualized revenue and had a backlog of about $550 million at closing.

Contegix, an Atlassian Platinum Solutions Partner based in Virginia, has acquired Blended Perspectives, a Toronto-based Atlassian Platinum Solutions Partner known for its Marketplace Analytics Research Service (MARS). Financing for the transaction was provided by Tree Line Capital Partners to support the deal and expand Contegix's Atlassian consulting capabilities and marketplace analytics offerings across North America.

Cyber Advisors, a Goldner Hawn portfolio company, has acquired KLH, Inc., a Minnetonka-based managed service provider. The add-on transaction (closed September 30, 2022) expands Cyber Advisors' managed IT and cybersecurity capabilities and extends its reach into the SMB market across the Upper Midwest.

Buchanan Technologies announced the strategic acquisition and merger of Infosenseglobal's Oracle technology and applications service line into Buchanan's Applications Services business, closing on December 1, 2022. The deal expands Buchanan's Oracle ERP and application modernization capabilities, creating a combined applications and database team of over 250 professionals; 7 Mile Advisors acted as sell-side advisor to Infosenseglobal.

IBM announced an agreement to acquire Octo, a Reston, Virginia-based IT modernization and digital transformation services provider serving the U.S. federal government. The deal, in which Arlington Capital Partners is selling Octo, will bring roughly 1,500 Octo employees into IBM Consulting's U.S. public and federal market organization to expand IBM's federal capabilities.

The Acacia Group, a specialist investment firm, has acquired Isos Technology, an Atlassian Platinum and Enterprise Solution Partner headquartered in Tempe, Arizona. Acacia will combine Isos with the Atlassian practice of MajorKey Technologies to form a larger Atlassian-focused platform and plans further acquisitions to build a leading partner in the Atlassian ecosystem.

Cognizant has agreed to acquire Houston-based Utegration LLC, a specialist SAP consulting and solutions provider focused on the energy and utilities sector. The deal, in which PE owner RLH Equity Partners sold Utegration, brings roughly 350 employees and industry-specific SAP products (Utility4U suite) into Cognizant's enterprise platform services to deepen its SAP capabilities for energy and utilities clients.

Park Place Technologies has acquired the TPM and Professional Services assets (global services division) of CentricsIT, strengthening Park Place’s professional services, project management and IT lifecycle capabilities. CentricsIT will retain its server, storage and networking resale business following the asset sale; the deal enhances Park Place’s IMAC, ITAD, remote-hands and deployment service offerings and adds a professional services portal and experienced PMO staff.

Synoptek has acquired Optistar Technology Consultants, the technology services division of The Vertex Companies, to expand its managed IT, cybersecurity, digital forensics and software engineering capabilities and strengthen its presence in the Northeastern United States. The deal represents a divestiture by Vertex of its Optistar technology services business and will fold the Optistar business into the Synoptek brand to accelerate regional growth and broaden service offerings.

Centrilogic, a Long Point Capital–backed provider of IT transformation and managed cloud solutions, has acquired WatServ to strengthen its full‑stack cloud, cybersecurity, and application management capabilities. The deal expands Centrilogic’s geographic footprint across Canada and the U.S., adds over 100 mid‑market and enterprise clients, and accelerates capability expansion across advisory, cloud professional and managed services, and DevOps.

Cloud Equity Group-backed Brightworks IT has acquired Key Technology Solutions, a Michigan-based managed service provider (MSP). The deal is an add-on acquisition as part of Cloud Equity Group and Brightworks IT's roll-up strategy to consolidate managed IT services firms, expand geographic coverage, and strengthen technical capabilities.

The 20 MSP announced the acquisitions of two regional managed service providers, CSP Technologies and Code Red Networks, expanding its national footprint. The deals are part of The 20's ongoing roll-up strategy in the MSP space and follow numerous acquisitions earlier in 2022.

SNH Capital Partners has made a strategic growth investment in Five Nines, a Midwest-focused managed IT services provider. The partnership will provide Five Nines with capital and operational resources to scale its managed IT, cybersecurity, and compliance offerings and expand further into regulated end markets such as healthcare.

Bentley Systems’ digital integrator business, Cohesive Group, has acquired Vetasi, an international enterprise asset management (EAM) consultancy with a strong focus on IBM Maximo. The acquisition expands Cohesive’s Maximo managed-services, cloud hosting and low-code capabilities and increases its geographic footprint across EMEA and Asia Pacific by adding Vetasi’s ~200+ employees and regional operations.

Sweden-based circular tech provider Foxway has acquired UK-based Global Resale Ltd, a lifecycle management and remarketing specialist for IT assets. The deal expands Foxway's footprint in the UK and Europe and strengthens its recovery and remarketing capabilities for computers and data-center hardware.

Concentric Investment Partners closed a growth investment in One Source Communications, a Greenville, North Carolina managed services provider. Proceeds from Concentric's investment were used by One Source to acquire SUMO Technologies and to support other growth initiatives.

Ark Technology Companies has acquired VerisVisalign, a Blue Bell, Pennsylvania-based Microsoft partner specializing in cloud transformation, managed services, and project delivery. The deal expands Ark's Microsoft cloud capabilities and geographic presence in the mid-Atlantic, and was facilitated by ITX; terms were not disclosed.

Hazel Finn LLC, a Los Angeles-based micro private equity firm, has acquired Titan Communications LLC (dba Wireless Support), a managed mobility services provider serving small and medium-sized businesses across the U.S. DL Capital Partners advised on the transaction and Hazel Finn's Chris Kolar will assume the CEO role with a plan to modernize systems and scale the business.

Bluewave Technology Group has acquired iSymplify, a St. Louis–based cloud and telecom advisory agency, expanding Bluewave’s technology advisory and lifecycle management capabilities and presence in the greater St. Louis area. The deal is part of Bluewave’s ongoing roll-up strategy (its sixth acquisition in 12 months) and is supported by a partnership with Columbia Capital to build a national technology advisory services platform. Financial terms were not disclosed.

Prospect Partners recapitalized Entech Computer Services, a Fort Myers-based managed IT and cybersecurity services provider, in a deal alongside Entech management. The partnership will support Entech's regional growth and pursue managed-services add-on acquisitions as the company becomes Prospect Partners' 55th portfolio company.

Noventiq has signed an agreement to acquire a majority stake in Belgrade-based software and digital solutions provider Saga Group. The deal brings over 400 employees and Saga's fintech and AI IP (including the Fintense banking platform and Weaver chatbot) into Noventiq, strengthening its digital infrastructure, managed services and presence across Central and Eastern Europe.

VTG has acquired Next Rev Technologies, LLC to expand its multi-cloud software development, digital transformation, and cyber capabilities while adding Next Rev's U.S. Intelligence Community customers. The acquisition enhances VTG's data science and advanced analytics depth and supports its strategy to build a mid-tier national security company.

Modus Create, a Reston, Virginia-based digital transformation consulting firm, has acquired Twybee, a French Atlassian Gold Solution Partner that provides Atlassian implementation, training and cloud migration services. The acquisition expands Modus Create’s Atlassian capabilities and strengthens its presence in France and the broader European market.

Xebia has acquired Netlink Digital Solutions Group (NDS) from Netlink Software Group America to strengthen its low-code and OutSystems capabilities. The deal expands Xebia's end-to-end digital transformation, managed services and OutSystems practice to support enterprise customers globally.

Larsen & Toubro Infotech (LTI) and Mindtree completed a court-approved merger to operate as a single entity, LTIMindtree, effective November 14, 2022. The combination creates a scaled-up IT services provider with a broader service portfolio, enhanced scale and a combined global workforce (the merged entity) and positions LTIMindtree to pursue larger digital transformation engagements.

Thrive, a U.S.-based provider of managed cybersecurity and digital transformation services, has acquired Custard Technical Services, a Nottingham-based UK IT support and managed services firm. The deal expands Thrive’s UK footprint and brings Custard’s managed services, disaster recovery, and IT security capabilities into Thrive’s NextGen portfolio to serve small- and mid-sized enterprises across the East Midlands and surrounding markets.

Summit Hosting, a cloud and application hosting provider based in Alpharetta, Georgia, has acquired Handy Networks to expand its server hosting, application hosting, colocation, HIPAA-compliant hosting, and backup/disaster recovery capabilities. The acquisition will increase Summit Hosting's customer base and add complementary technical expertise and service offerings aimed at the SMB marketplace and regulated end markets.

Genstar Capital has completed a strategic investment in Likewize, joining existing private equity investor Brightstar Capital Partners with the Likewize management team retaining a significant ownership stake. The capital will support Likewize's next phase of growth as the tech protection and support company scales its device protection, warranty, repair and premium support services globally.

CitiusTech has acquired Wilco Source, a Salesforce consulting and implementation services provider focused on healthcare and life sciences, to strengthen its patient- and member-centric digital offerings. The acquisition brings Wilco Source's Salesforce expertise, accelerators and SaaS solutions into CitiusTech's portfolio to expand capabilities in digital front door, care management, REMS and patient services.

Acrisure (through its Acrisure Cyber Services division) has acquired Homefield IT, a New York City–based managed service provider that offers managed IT, cloud and digital transformation, and cybersecurity services to businesses across the U.S. The acquisition strengthens Acrisure Cyber Services’ MSP footprint and expands its capabilities to serve small- and mid-size business clients with managed security and IT operations.

Caltius Structured Capital completed a debt and equity investment in Kognitiv, Inc. to provide growth capital and fund a shareholder dividend. Kognitiv, a Newton, Massachusetts–based Workday consulting and managed-services provider with a proprietary scheduling tool (Rooster) and more than 150 consultants, will use the capital to scale its services and software platform.