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Government Services Provider Two Six Technologies Acquires Trusted Concepts Inc

National security services provider Two Six Technologies has acquired Trusted Concepts Inc, a provider of software engineering, cyber and advanced analytics solutions for the intelligence community. Terms of the deal were not disclosed.

This is technology M&A deal number 526 that ChannelE2E has covered so far in 2021. See all technology M&A deals for 2021 and 2020 listed here.

Two Six Technologies was founded in February 2021 by global investment firm The Carlyle Group after it acquired IST Research and Two Six Labs and combined the two companies. Headquartered in Arlington, Virginia, Two Six has more than 440 employees and a global operational footprint that includes a technical presence in more than 40 countries. The acquisition of Trusted Concepts is the new entity’s first acquisition since it was formed.

The deal brings what Two Six describes as a highly talented team, unique capabilities and software products and longstanding customer relationships to the company, which will accelerate its strategic vision.

Based in Herndon, Virginia, Trusted Concepts provides high-end information technology services to federal and commercial clients, primarily supporting U.S. national security missions. The company has 130 employees and more than 15 years of experience with domain expertise in cyber, data analytics, secure communications and encryption, according to Two Six. Trusted Concepts also provides the proprietary security product TrustedKeep, which provides scalable, object-level encryption for U.S. government customers, Two Six pointed out.

Two Six Acquires Trusted Concepts: Rapidly Addressing Mission Needs

Joe Logue, CEO, Two Six Technologies
Joe Logue, CEO, Two Six Technologies
Dayne Baird, Managing Director, The Carlyle Group

Joe Logue, CEO of Two Six Technologies, commented:

“I’m absolutely thrilled to welcome Trusted Concepts into the Two Six team. Trusted Concepts’ co-founders and entire staff are top-tier professionals with world-class expertise. The two companies are extraordinarily complementary, with a shared strategic vision and strong cultures focused on innovation, mission impact, and attracting the industry’s best talent. With our combined technical and operational capabilities, Two Six now has the means to more rapidly address the mission needs of a broad set of intelligence customers.”

Michael Frazier, co-founder and CEO of Trusted Concepts, said:

“Two Six Technologies is the ideal strategic partner for Trusted Concepts, and joining Two Six enables us to reach the next stage of our growth and our long-term goals. This combination is a testament to the success Trusted Concepts has strived for and achieved since its inception. I’m incredibly proud of our team being recognized in this very concrete way, and I anticipate that together we will offer an unmatched set of solutions to an ever-expanding client base.”

Dayne Baird, managing director at The Carlyle Group and Two Six Technologies board member, added:

“Trusted Concepts is a highly differentiated performer for the U.S. intelligence community, and the addition of its talented workforce, products, and expertise will strengthen Two Six’s ability to innovate and solve complex problems that impact the highest priority missions of our government customers. We are incredibly excited by the rapid growth that Two Six Technologies is experiencing, and will continue to invest in and support Joe Logue and the Two Six leadership team to achieve their strategic vision.”

Baird acted as the exclusive financial advisor and Miles & Stockbridge acted as legal advisor to Trusted Concepts. Latham & Watkins LLP acted as legal advisor to Carlyle and Two Six Technologies.

Government Services M&A

Merger and acquisition (M&A) activity involving government IT service providers has been steady, with numerous first-time buyers, private equity firms and strategic buyers jumping into the market. You can find a full list of the deals ChannelE2E has tracked so far here.