OceanSound Partners has made an investment in Digital Management Holdings LLC, a digital transformation solutions firm. No financial terms were disclosed.
BETHESDA, MD and NEW YORK – October 26, 2021 – Digital Management Holdings, LLC (“DMI” or “the Company”), a global digital transformation solutions company, today announced that it has received a strategic investment from an affiliate of OceanSound Partners, LP (“OceanSound”). OceanSound is a growth-oriented private equity firm that invests in technology and technology-enabled services companies serving government and enterprise end markets. DMI will continue to operate under the leadership of the existing management team, led by Founder and CEO Jay Sunny Bajaj, who will retain a significant ownership interest in the Company. Financial terms of the transaction were not disclosed.
Founded in 2002 and based in Bethesda, Maryland, 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. The Company works in close collaboration with its customers to address their complex business challenges and optimize their growth potential. DMI has been positioned as a Leader in the Gartner® Magic Quadrant™ for Managed Mobility Services, Global for six years running.
DMI has over 2,100 employees in 7 countries and serves a diverse portfolio of more than 200 clients including federal, state and local government agencies and major enterprises in vertical markets including automotive, consumer and retail, financial services, and healthcare. DMI serves its clients through a unique global delivery model coupled with its network of digital design studios, agile software development centers and mobile service centers located in North America, South America, Europe and Asia.
“This investment underscores the prime position that DMI occupies in the market and is a tremendous validation of the Company’s long-term growth potential,” said Sunny Bajaj. “Marrying our technology capabilities and customer relationships with the financial strength and network of OceanSound makes us even stronger and strategically positions DMI to be the leader during this period of extraordinary digital disruption. We chose OceanSound as a partner because of their extensive experience operating at the intersection of the commercial and government technology markets and look forward to leveraging their expertise in business development and operational excellence. This partnership will enable us to further serve our enterprise clients by allowing us to expand investments in our people while accelerating our market expansion and go-to-market initiatives.”
“Sunny and the team have done a remarkable job building DMI brick by brick and were very prescient to focus on digital, mobile-first transformation solutions for government and commercial customers around the world,” said Joe Benavides, Partner and Co-Founder of OceanSound. “DMI optimizes margin growth for its customers through a consultative approach to digital modernization centered on software development to improve customer experiences and other business workflows which are integrated into their customers’ enterprise systems. DMI has excelled at leveraging their next-gen software engineering solutions developed for commercial customers to create differentiated solutions to better solve challenges facing their government customers. We are excited to leverage our strategic perspectives, engineering-like approach to value creation and extensive resources to help build a better, faster growing DMI.”
“Companies are modernizing legacy applications and business processes at an accelerating rate and DMI’s customers view them as a mission critical part of that journey,” added Addison Nordin, a Principal at OceanSound. “The market for digital solutions is growing rapidly, increasingly complex and critical to the success of any organization. DMI is uniquely positioned to benefit from these trends and help its customers solve their most pressing business problems.”
Blackstone Credit and Goldman Sachs Asset Management Division provided committed financing for the transaction.
Baird served as financial advisor and Jones Day served as legal counsel to DMI. Miles & Stockbridge advised DMI management. DC Advisory served as exclusive financial advisor and Gibson, Dunn & Crutcher LLP and Paul, Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel to OceanSound.
About Digital Management Holdings, LLC
DMI is a global technology solutions company that specializes in digital strategy, design, transformation and support. DMI offers solutions for AI and Analytics, Commerce, Customer Experience, Cloud Platforms, Application Development, Mobile and Cybersecurity. Born digital, DMI has been delivering mission-critical, enterprise grade solutions since 2002 for over a hundred Fortune 1000 enterprises and all fifteen U.S. Federal Executive Departments. For more information on DMI’s intelligent digital solutions, visit www.dminc.com.