Transactions

June 21 2011

KippsDeSanto & Co. Advises HPTi on its Sale to Dynamics Research Corp.

KippsDeSanto & Co. is pleased to send you the attached press release announcing the acquisition of our client, High Performance Technologies, Inc. (“HPTi”), by Dynamics Research Corp. (“DRC”) for $143 million. DRC acquired HPTi to deepen its exposure in key federal growth areas such as healthcare, cyber security, intelligence, civilian financial agencies, and homeland security. The transaction closed on July 1, 2011.

Headquartered in Reston, Virginia, HPTi is a leading provider of high-end technology services primarily to the Federal healthcare and military technology markets. HPTi delivers a myriad of highly technical services in the areas of modeling and simulation, advanced research, scientific computing, enterprise technology and planning, systems architecture, algorithm development, secure software development, and visualization. These solutions bridge the gap between academia and the battlefield, optimize enterprise technology, advance scientific knowledge, ensure efficient process driven technology development and modernization, and create secure, dependable systems that automate critical business functions. The Company synthesizes disciplined architecture and development with emerging technologies to ensure the success of advanced mission critical systems and programs across high priority federal civilian and defense agencies such as the VA, DoD, Army, DOJ, Treasury, FBI, NOAA, and intelligence customers.

We believe this transaction demonstrates several key trends in the government IT M&A environment:

• Well-performing companies with a strong focus in key funding areas such as Health IT, military technology, intelligence, and cloud computing continue to be in high demand

• Targets operating at the front-end of contracts with significant backlog provide strong revenue visibility and are positioned for premium pricing from both government services buyers and private equity investors

• Distinguished capability sets, well-balanced client bases, and large contract vehicle portfolios provide key organic growth avenues for acquirers in today’s tight budget environment

• The importance of a robust culture and strong core values in recruiting and retaining high-end employees needed to tackle the most technically demanding problems facing the government

LEAD INVESTMENT BANKERS

banker-photo

Bob Kipps

Contact Bob
banker-photo

Kevin P. DeSanto

Contact Kevin

KippsDeSanto & Co. is pleased to send you the attached press release announcing the acquisition of our client, High Performance Technologies, Inc. (“HPTi”), by Dynamics Research Corp. (“DRC”) for $143 million. DRC acquired HPTi to deepen its exposure in key federal growth areas such as healthcare, cyber security, intelligence, civilian financial agencies, and homeland security. The transaction closed on July 1, 2011.

Headquartered in Reston, Virginia, HPTi is a leading provider of high-end technology services primarily to the Federal healthcare and military technology markets. HPTi delivers a myriad of highly technical services in the areas of modeling and simulation, advanced research, scientific computing, enterprise technology and planning, systems architecture, algorithm development, secure software development, and visualization. These solutions bridge the gap between academia and the battlefield, optimize enterprise technology, advance scientific knowledge, ensure efficient process driven technology development and modernization, and create secure, dependable systems that automate critical business functions. The Company synthesizes disciplined architecture and development with emerging technologies to ensure the success of advanced mission critical systems and programs across high priority federal civilian and defense agencies such as the VA, DoD, Army, DOJ, Treasury, FBI, NOAA, and intelligence customers.

We believe this transaction demonstrates several key trends in the government IT M&A environment:

• Well-performing companies with a strong focus in key funding areas such as Health IT, military technology, intelligence, and cloud computing continue to be in high demand

• Targets operating at the front-end of contracts with significant backlog provide strong revenue visibility and are positioned for premium pricing from both government services buyers and private equity investors

• Distinguished capability sets, well-balanced client bases, and large contract vehicle portfolios provide key organic growth avenues for acquirers in today’s tight budget environment

• The importance of a robust culture and strong core values in recruiting and retaining high-end employees needed to tackle the most technically demanding problems facing the government

LEAD INVESTMENT BANKERS

banker-photo

Bob Kipps

Contact Bob
banker-photo

Kevin P. DeSanto

Contact Kevin