High Street Capital Acquires Controlling Share in NeoSystems
Investment to Drive Aggressive Growth Goals for Strategic Business Outsourcer; Current Management Team to Lead Company
TYSONS CORNER, Va., Sept. 8, 2021 /PRNewswire/ -- NeoSystems, a full service strategic outsourcer, IT systems integrator and managed services provider to the government contractor market, announced today that it is being acquired by High Street Capital, a Chicago-based private equity firm. Financial terms of the deal were not disclosed.
The company will continue to be led by NeoSystems CEO and Co-Founder, Michael Tinsley, and Co-Founder and CTO, Rob Wilson, along with its current management team.
"This is a terrific outcome for our company, customers, partners and workforce," said President and Co-Founder Michael Tinsley of NeoSystems. "With the investment and confidence of High Street Capital, we will be able to expand our services and optimize market opportunities to better drive customer success and meet their increasing appetite for strategic outsourced and managed IT services."
With investment from High Street Capital, NeoSystems plans to bolster its resources including expanding and deepening its capabilities, adding to its customer support staff, launching new products, broadening its channel offerings, and expanding its workforce to better meet growing client demand for its services.
"We see tremendous growth potential for NeoSystems especially as the rate of digital transformation has accelerated due to changes resulting from the pandemic," said Timothy J. Kurth, Partner at High Street Capital. "NeoSystems offers a full complement of strategic and business essential functions that helps to ensure a company's success. We believe with our guidance and oversight we can help take the company to the next level."
According to IBISWorld, the market size, measured by revenue, of the Business Process Outsourcing Services industry is $54.8 billion in 2021.
NeoSystems, who will retain its name, will continue to be based in Northern Virginia at its Tyson's Corner campus that houses its nearly 200-strong workforce. Earlier this year, NeoSystems announced attaining Registered Provider Organization (RPO) status, a large initiative led by the Department of Defense to significantly strengthen the security of its supply chain.
About High Street Capital
High Street Capital is a leading provider of flexible capital and operating expertise to lower middle market businesses. The firm looks to acquire, recapitalize, and provide growth capital to outsourced business services, niche manufacturing and value-added distribution & logistics companies with revenues of $10 to $100 million. We are actively seeking new investment opportunities through our fifth committed fund. Please visit www.HighStreetCapital.com for more information.
About NeoSystems
NeoSystems, based in Tysons Corner, Virginia, is a full service strategic outsourcer, IT systems integrator and managed service provider delivering services and solutions to enable, run and secure government contractors, commercial entities and nonprofit organizations. The NeoSystems team enables companies to improve vital operations, reduce their overhead costs and become compliant with complex requirements. Today NeoSystems maintains a 97% client retention rate, and supports over 600 companies and more than 100,000 client employees with its outsourced services. NeoSystems' experts have implemented hundreds of fully-integrated financial and business management systems, utilizing best of breed technology and leveraging in-depth domain expertise in Accounting & Finance, IT, HR, Security and Hosting (SSAE SOC1 & SOC2, ITAR). NeoSystems has been named one of America's fastest growing private companies by Inc. Magazine. For more information, visit https://www.neosystemscorp.com. Follow us on Twitter and LinkedIn.
Contact:
Janet Brumfield
Ideal PR+ for NeoSystems
614.582.9636
SOURCE NeoSystems LLC
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