Management consulting and technology company LMI has signed an agreement to sell its subsidiary to a group of investment parties, creating two distinct organizations: a nonprofit independent entity and a for-profit organization still operating within the LMI brand.
Buyers Declaration Partners, Capitol Meridian Partners and 22C Capital reportedly hold experience working for government as well as carry technological proficiency that will help the newly bifurcated LMI and NobleReach Foundation serve the public sector, the Tysons Corner, Virginia-based company said Tuesday.
“Our people are our greatest asset. This opportunity expands our ability to attract and retain the best talent while maintaining our winning LMI culture,” remarked Doug Wagoner, CEO and president of LMI and a three-time consecutive recipient of the Wash100 Award.
Lisa Disbrow, chair of LMI, explained that the sale of the subsidiary and separation of the two organizations is aimed to strengthen LMI’s ability to meet its clients’ needs while also generating more profitability and value for both the company and the parts of society it touches.
The investing parties plan to collaborate with Wagoner and his team after the deal closes in order to capitalize on new opportunities arising from movements in modernization and digital transformation in the government space.
The transaction is expected to be finalized at the end of the third quarter of 2022. Its specific terms are not disclosed. LMI enlisted the help of KippsDeSanto & Co. for M&A advisement, while the investors sought assistance from Macquarie, as well as Latham & Watkins, Sidley Austin and Paul Weiss.