GovernmentCIO (GovCIO), a provider of technology and digital solutions to the federal health IT services market that is backed by Welsh, Carson, Anderson & Stowe (WCAS), has agreed to acquire Salient CRGT (SCRGT), a provider of data analytics, cloud, agile software development, cybersecurity, and infrastructure solutions to U.S. national security, federal civilian, and federal health agencies, from Bridge Growth Partners and Frontenac.
The combination of GovCIO and SCRGT will bring together two complementary providers of government IT solutions to form a diversified platform to meet the evolving needs and priorities of government customers. Jim Brabston, GovCIO’s CEO, will lead the combined company. Tom Ferrando, SCRGT’s CEO, will join the board of directors and long-time industry veteran Phil Nolan will become chairman of the combined company, which will be named GovernmentCIO, following the close of the transaction. The combined company will have more than 2,200 employees and revenues of approximately $700 million in 2021.
The transaction is expected to close in 2021’s third quarter, subject to regulatory approvals and other customary closing conditions.
GovCIO and WCAS are being represented by DC Advisory as financial advisor and Kirkland & Ellis LLP as legal counsel. SCRGT is being represented by Robert W. Baird & Co. and Guggenheim Securities, LLC as financial advisors and Kirkland & Ellis LLP and Willkie, Farr & Gallagher LLP.