Snow Phipps has acquired ITSolutions, a privately held management and information technology consulting company, from The Edgewater Funds.
The firm did not disclose terms of the transaction. Snow Phipps partnered on the deal with Stefan Lalos, co-founder of ITSolutions, who will retain his position as chief executive officer. Snow Phipp’s operating partner, Leif Soderberg, will join the company as non-executive chairman of the board.
ITSolutions, based in Silver Springs, Maryland, is an information technology services provider for US government agencies and private companies. In 2006, the company was listed as the 29th fastest growing US private company by Inc. magazine, and the second fastest growing company in the IT services sector.
The Edgewater Funds, a Chicago private equity firm managing $1 billion in capital, has grown ITSolutions since acquiring the company in 2005. In 2007, ITSolutions acquired ITEQ Integrated Technologies, expanding staff and services to the government services sector.
The Edgewater Funds exit follows the June departure of vice-president Bill Drehkoff.
Snow Phipps, formed by Ian Snow, Ogden Phipps and the Guggenheim Partners, completed its first private equity deal in 2006 when a controlling interest in FiberVisions, a textile producer, was acquired for $109 million. The firm is investing from its debut fund which closed on $620 million in 2007.