Private equity firm Carlyle Group is acquiring U.S. government IT consulting and cybersecurity firm ManTech International for $ 4.2 billion, the companies revealed.
This is the M&A technology deal number 482 covered by ChannelE2E today in 2022. View more than 1,000 M&A technology deals involving MSPs, MSSPs, and IT service providers listed here.
ManTech provides technology solutions and services for US defense, intelligence community and federal civilian agencies. Key areas of expertise include cyber, data collection and analytics, enterprise IT, systems and software engineering solutions that support national and homeland security, according to the ManTech website.
ManTech’s key technology partners include Amazon Web Services, Google Cloud, Microsoft, Red Hat and ServiceNow, according to the consulting firm’s website.
ManTech Business Performance, M&A Rumors
ManTech’s revenue was $ 676 million in Q1 of 2022, up 6.7% from $ 633 million in Q1 of 2021. Also, net revenue was $ 31.3 million – slightly down from $ 32.3 million in Q1 of 2021.
Rumors about ManTech possibly being sold have been circulating for months. For example, ManTech co-founder George Pederson in February 2022 was exploring options for his controlled stake that included selling the company, Reuters reported at the time.
Fast forward to May 2022, and a ManTech sale to Carlyle was announced on May 16, 2022.
In a prepared statement about the deal, Dayne Bairda managing director in Carlyle’s Aerospace & Government Services team, said:
“We have always admired ManTech’s unwavering commitment to supporting national security customers and their critical missions through diverse technology capabilities and solutions. ManTech’s talented employees and leadership team have built an impressive Company with strong market positions throughout the federal government. Through this partnership, we look forward to using our sector expertise and resources to accelerate growth and innovation and to drive greater value for customers and employees. “
Added ManTech CEO and President Kevin M. Phillips:
“This announcement is an important milestone for ManTech and a testament to our growth and the leadership position we have built since we were founded by George Pedersen over 50 years ago. Following a comprehensive review of the strategic alternatives, our Board determined that this transaction was in the best interests of our shareholders and provided them with the most compelling value maximization result, offering liquidity to a significant premium. We look forward to using Carlyle’s deep knowledge and experience in investing in and growing companies, as we deliver greater results for our customers and more opportunities for our employees. ”
The deal is expected to close in the second half of calendar 2022, the parties indicated.
The Carlyle Group: Examples of IT Acquisition
The Carlyle Group has extensive experience acquiring IT services firms in multiple vertical markets. Sample deals include getting:
M&A activity in the government IT services and consulting market remains strong. Here is a list that tracks all M&A involving government technology, MSP and MSSP providers.