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05/2022

ManTech International Corporation acquired by THE CARLYLE GROUP

UNITED STATES IT Services / Consulting & Integration / Cybersecurity Services EV $1–10bn

Context

Financed via an all-cash corporate mechanism, this definitive agreement enables Carlyle to acquire complete control of the federal information technology contractor, ManTech. Under the strictly negotiated terms unanimously approved by the target's Board of Directors, public shareholders will receive $96.00 in cash for each outstanding share of common stock. This per-share consideration delivers a 32% premium over the unaffected closing price registered on February 2, 2022, prior to initial market speculation regarding a strategic review process, and a 17% premium compared to the final trading day before the official announcement. To secure the transaction's execution, stakeholders representing 49.2% of the target's current outstanding voting power have formally committed to a binding voting agreement in favor of the merger. The strategic rationale articulated by the acquiring private equity sponsor centers on leveraging its dedicated Aerospace and Government Services expertise to aggressively accelerate the target's technological innovation and expand its footprint within the federal government apparatus. This leveraged buyout occurs against a backdrop of rapid consolidation within the defense industrial base, echoing recent sector activity where the target itself previously absorbed Gryphon Technologies, and aligns with the Pentagon's heightened emphasis on stringent cybersecurity standards among defense contractors. The operation completes a comprehensive review of strategic alternatives initiated by the target's executive leadership, deliberately seeking a liquidity event that maximizes shareholder returns while providing institutional backing for future capacity expansion. The deal's execution was supported by a specialized advisory consortium: Goldman Sachs acted as the exclusive financial advisor to the target, with King & Spalding serving as legal counsel. Concurrently, the acquiring fund mandated Robert W. Baird & Co. for financial advisory services and retained Latham & Watkins to oversee the legal structuring. Subject to customary regulatory clearances and final shareholder approval, the definitive delisting and integration are scheduled to conclude during the second half of 2022.

ManTech International Corporation, which reported an EBITDA margin of [members only] in 2021, is valued in this transaction at an EV/EBITDA multiple of 15x–25x, representing a premium to the average currently observed in the TMT (Tech, Media, Telecom) sector (14.6x).

-> Deep-dive in TMT (Tech, Media, Telecom) market trends

Target

Cybersecurity pioneer and systems engineering specialist, ManTech International Corporation develops and deploys mission-focused technology solutions specifically engineered for United States defense, intelligence, and federal civilian agencies. Headquartered in Herndon, Virginia, and operating as a publicly traded entity on the Nasdaq exchange, the enterprise leverages more than fifty years of continuous industry presence since its initial founding by George Pedersen. The company's core operational model revolves around providing highly secure digital infrastructure and analytical capabilities that support critical national security programs. The technological portfolio encompasses full-spectrum cyber operations, advanced data collection and analytics, enterprise information technology architecture, and customized software application development. Operating exclusively within the highly regulated federal contracting market, the organization acts as a primary technological partner for homeland security and military intelligence operations. By integrating proprietary software engineering with specialized defense protocols, the firm ensures the operational continuity and digital resilience of sovereign systems. The business structure is strictly aligned with the complex procurement cycles and stringent compliance requirements inherent to government defense contracts, maintaining a specialized workforce capable of addressing the rigorous demands of modern cyber warfare and data intelligence.

Ent. Value

$1–10bn

Equity Value

[members only]

Multiples

FREE VIEW

EV / Revenue

1.6x

EV / EBITDA

15x–25x

EV / EBIT

Above 20x

Historical Financials (USD)

Year
Rev
EBITDA
EBIT
2021
$1–10bn
$250–500M
$100–200M
2020
$1–10bn
$250–500M
$100–200M

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REFERENCES

Valuation range: EV $1–10bn

Revenue range: $1–10bn

EBITDA range: $250–500M

EV/Revenue range: 1x - 3x

EV/EBITDA range: 15x - 25x

Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of ManTech International Corporation by THE CARLYLE GROUP are reserved for mynth community members. Register for free to unlock full data.

Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.

Press release: view release

Target: mantech international corporation

Acquirer: the carlyle group