DC Advisory advised OceanSound Partners on its acquisition of DMI

Background

• OceanSound Partners (OceanSound) is a growth-oriented private equity firm that invests in technology and technology-enabled services companies, serving government and enterprise end markets
• DMI is a leading provider of digital transformation and managed mobility services to commercial and government customers
• DMI offers an integrated suite of agile software development and next-gen engineering solutions that combine business strategy, domain specific knowledge and technical expertise
• DC Advisory (DC) has played an active role in DMI’s growth story, and in 2016, served as the placement agent in its $90 million capital raise
• DC also acted as DMI’s financial advisor in its 2017 acquisition of Lochbridge, a provider of technology and IoT solutions

Process

• OceanSound partnered with DC due to its long-standing IT services expertise, differentiated GovCon industry knowledge, deep relationship with DMI and proven track record in similar processes
• Working closely with OceanSound, DC  provided valuation and strategic advice, sector intelligence and process management expertise

Outcome

• DMI will continue to operate under the leadership of the existing management team, led by founder and CEO Sunny Bajaj, who will retain a significant ownership interest in DMI
• The partnership will support strategic investments in talent, expanded capabilities and geographic reach to drive DMI’s digital transformation offerings in both the government and commercial markets
• OceanSound expanded their portfolio of commercial and government technology companies and will leverage their deep domain expertise in these markets to accelerate DMI’s growth
• The transaction bolsters DC’s credentials in the government and IT services sector and demonstrates its expertise in providing differentiated insight and market access