McNally Capital has invested in Federal Data Systems, a provider of critical infrastructure and services to the Department of Defense and the national intelligence community. Other investors included Profile Capital Management and Pine Crest Capital. No financial terms were disclosed.
Chicago, IL – July 18, 2018 – McNally Capital announced an investment in Federal Data Systems (FedData), a leader in providing critical infrastructure and services to the Department of Defense and the National Intelligence Community, and a provider of threat reduction and counterintelligence services to major corporations. McNally Capital led the investment; Profile Capital Management and Pine Crest Capital, amongst others, co-invested in the transaction.
“FedData has established itself as a leader in its markets, and we are excited to partner with them as they continue their impressive history of growth,” said Ward McNally, Managing Partner at McNally Capital. “Our partnership with the FedData team is consistent with our thesis of collaborating with best-in-breed owners and managers of businesses to help them achieve their long-term growth objectives. One of our primary investment theses focuses on the intelligence and defense communities, and we are excited to have completed this platform investment.”
Jamie Benoit, CEO of FedData, said, “This investment is the logical next step in developing a platform in the defense and intelligence communities. Equipped with additional capital, we’ll continue to grow our world-class team of intelligence, infrastructure and threat defense professionals. I couldn’t be more excited about this new opportunity in partnership with McNally Capital.”
McNally Capital completed this transaction in line with its model of partnering with management teams, industry experts and family offices to provide additional resources for its portfolio companies. Among others, Christopher (CJ) Oates and Nio Advisors, LLC, a strategic advisory firm, partnered with McNally Capital in the due diligence process and as a co-investor in the transaction.
Ropes & Gray and Venable acted as legal advisors to McNally Capital.
Federal Data Systems (FedData) is a leading provider of information technology products and services to government and commercial markets. Founded in 2006, FedData specializes in the design, delivery, implementation and monitoring of automated systems with a corporate emphasis on infrastructure design, data security, incident response, continuity of operations, and information assurance. Through several prime contracts with the United States Intelligence Community, FedData provides design and implementation of sophisticated IT networks for systems of national importance.
About McNally Capital
Formed by the McNally family, who owned and operated Rand McNally & Company, McNally Capital is dedicated to upholding a 140+ year legacy as a family-owned and operated company. Today, McNally Capital is focused exclusively on Direct Family Capital through Direct Investing and Merchant Banking services. With an emphasis on partnership, we harness the financial, intellectual, and human capital of our family office ecosystem to build value for family office investors, management teams and operating companies. We maintain a private network of over 800 family offices with whom we collaborate to make and manage direct investments. FedData is McNally Capital’s 6th direct investment. For more information, please visit: