KippsDeSanto & Co. has identified four trends in the government technology mergers-and-acquisition space it says became evident during CACI International‘s acquisition of IDL Solutions.
The investment bank said the transaction, for which it advised IDL, demonstrated strong buyer appetite for companies that are focused on emerging market segments such as healthcare IT and big data.
“Strategic buyers continue to target M&A opportunities that address strategic gaps or augment an existing presence with substantive depth in those priority areas,” the bank said. “Given macroeconomic and federal budget uncertainty, buyers seek targets with sustainable growth potential evidenced by actionable new business opportunities.”
Buyers also want to acquire high-value, long-term contracts and contracting vehicles, the bank said.
IDL holds a position on a Department of Health and Human Services enterprise system development vehicle, through which it provides data collection, storage, analysis,and dissemination support to the Centers for Medicare and Medicaid Services and other agencies.
CACI intends for its January acquisition of IDL and its purchase of health IT provider Emergint Technologies two months prior to grow its presence in the federal health insurance market.
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