DC Capital Expands KS International With Government Contractor Acquisition

LBO Wire - September 12, 2011. DC Capital Partners, a mid-market buyout firm focusing on companies that provide goods and services to Uncle Sam, has completed an add-on deal for KS International LLC, acquiring engineering and construction consultant Project Management Services Inc.

Financial terms of the deal were not disclosed in a press release announcing the transaction.

Based in Rockville, Md., Project Management Services provides engineering and construction management consulting services to both federal and state government agencies. Those services include full life-cycle cost estimating, security planning, risk analysis, claims analysis and energy consulting, as well as Leadership in Energy & Environmental Design consulting. LEED is used in the design and construction of buildings to improve performance around sustainability issues such as energy usage, water efficiency and carbon emissions reductions.

Washington, D.C.-based DC Capital formed KS International by combining Bridgeville, Pa.-based Sallyport Global Holdings Inc., a company that it acquired earlier this year, with Kaseman LLC, which DC Capital bought back in 2008. Sallyport specialized in offering engineering, logistical and emergency services to agencies engaged in war zones or humanitarian situations, while Kaseman provided engineering and construction services to federal agencies. KSI has more than 2,000 employees and an established presence on five continents, according to the release.

The KS International platform also includes a 51% stake that DC Capital purchased in 2010 in International Development Solutions Inc., a joint venture between DC Capital and U.S. Training Center. McLean, Va.-based IDS provides security services for U.S. diplomats working overseas, including in Israel and Afghanistan.

Formed four years ago, DC Capital is in the midst of marketing its first institutional fund, which has a target of $200 million to $250 million, LBO Wire previously reported. The firm focuses on acquiring controlling stakes in mid-market companies that provide contracting services to government agencies. DC Capital President Thomas Campbell and Partners Gail Dady and Doug Lake worked together at private equity firm Veritas Capital.

About KS International, LLC

KS International, LLC ("KSI"), headquartered in McLean, VA, is a global provider of mission critical services and solutions primarily to the Department of State, Department of Defense, and Department of Homeland Security. KSI operates in the following areas: Engineering and Professional Services; Specialized Cleared Construction; Training; and Support Services. KSI has over 2,000 employees with an established presence on 5 continents.

About DC Capital Partners, LLC

DC Capital Partners, LLC, headquartered in Washington, DC, is a private investment firm focused on making control equity investments in middle market companies operating primarily in the United States government services sector. www.dccapitalpartners.com.