New Mountain Capital Makes Majority Investment in Deltek.HERNDON, Va. -- Deltek Systems, Inc., today announced that New Mountain Partners II, L.P., sponsored and managed by New Mountain Capital LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control (New Mountain), is making a majority capital investment in the company. Under the terms of the investment agreement, New Mountain is purchasing 75 percent of Deltek's shares, while the deLaski family and management shareholders will continue to own 25 percent. The transaction is scheduled to close this week. New Mountain is a private equity firm, based in New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , investing for long-term capital appreciation through direct investment in growth equity transactions, leveraged acquisitions and management buyouts. New Mountain Partners II, L.P. is New Mountain's second fund with $1.55 billion in committed capital. Deltek is New Mountain's second investment in this new fund. Deltek Systems is a leading provider of business software applications for project businesses, including professional services (job) professional services - A department of a supplier providing consultancy and programming manpower for the supplier's products. firms, government contractors, project manufacturers, program-based non-profits and construction companies. Fueled by new product introductions, consolidation in the ERP (Enterprise Resource Planning) An integrated information system that serves all departments within an enterprise. Evolving out of the manufacturing industry, ERP implies the use of packaged software rather than proprietary software written by or for one customer. market and growth in Federal spending, Deltek's software bookings grew by 23 percent last year with total revenues of $123 million in 2004. Ken deLaski, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. and Co-founder of Deltek said, "Deltek's management team and long-term shareholder group enthusiastically welcome and embrace this transaction with New Mountain. Unlike some of the other recent transactions in our market, our new investors are all about helping Deltek to grow. We are very impressed with the depth of experience and vision that the New Mountain team brings to Deltek and believe New Mountain's significant capital base will greatly benefit our growth and leadership position in the software industry. With New Mountain, we will invest in growth while continuing our strong commitment to our existing products, customers and employees." Steven Klinsky, Founder and CEO of New Mountain, said, "In doing extensive research, we found Deltek to be the 'gold standard' in enterprise software for project businesses. Deltek has a commitment and track record with respect to its products and customers that are unmatched in the software industry. We are truly delighted and honored to have Deltek as a portfolio company in our newest fund and look forward to helping Deltek achieve its maximum potential in the future." There are no changes in operations or product strategy planned as a result of the investment by New Mountain. Also, there are no staff reductions planned or anticipated in connection with the investment. Ken deLaski will continue as Deltek's Chairman and CEO and will be joined on the board of directors by New Mountain Managing Directors Alok Singh and Michael Ajouz as well as Steven Klinsky, New Mountain's Founder and CEO. Additional outside board appointees will be named in the next several months. The Deltek investment will be New Mountain's third investment in a Virginia-based company. In 2001, New Mountain made a control investment in Strayer Education Strayer Education, Inc. (NASDAQ: STRA) is an education services holding company which owns for-profit Strayer University and other assets. The corporation was established in 1996 to take what was then Strayer College public and raise capital for expansion. Corp. (NASD NASD See: National Association of Securities Dealers NASD See National Association of Securities Dealers (NASD). :STRA), followed by another majority control investment of Chantilly-based Apptis in 2003. ABOUT NEW MOUNTAIN CAPITAL New Mountain Capital, LLC is a private equity firm investing for long-term capital appreciation through direct investment in growth equity transactions, leveraged acquisitions and management buyouts. New Mountain Partners II, L.P. is a private equity fund sponsored and managed by New Mountain Capital. New Mountain's primary strategy is to seek out the highest quality growth leaders in carefully selected industry sectors, and then to work intensively with management to build the value of these companies. New Mountain's website is www.newmountaincapital.com. ABOUT DELTEK With more than 8,000 customers, Herndon, VA-based Deltek is the leading provider of enterprise resource planning See ERP. (application, business) Enterprise Resource Planning - (ERP) Any software system designed to support and automate the business processes of medium and large businesses. (ERP) solutions for project-based businesses and professional services firms. Founded in 1983, Deltek enables companies to maximize profitability and productivity, integrating all aspects of their businesses. Deltek focuses on the architecture/engineering/construction, IT/systems integration, professional services and government contracting markets. Its clients include Bechtel, CACI CACI - A company developing and marketing SIMSCRIPT, MODSIM and other simulation software products. Telephone: +1 (619) 457-9681. , HOK and Verizon. Analyst firm Technology Evaluation Centers This article or section needs sources or references that appear in reliable, third-party publications. Alone, primary sources and sources affiliated with the subject of this article are not sufficient for an accurate encyclopedia article. declares Deltek "...the ERP leader for professional services industries and other companies focused on project-related work." Deltek Enterprise(TM), Deltek Vision(R) and Deltek GCS GCS Glasgow Coma Scale GCS Guilford County Schools (North Carolina) GCS Ground Control Station GCS Grand Central Station GCS Ground Control System GCS Ground Combat Systems GCS Group Communication Systems Premier(R) power a myriad of front- and back-office applications including accounting, billing, resource planning Resource planning may refer to:
Deltek Enterprise(TM), Deltek Vision(R), Deltek GCS Premier(R), Deltek Costpoint(R) and Deltek GovWin(TM) are registered trademarks of Deltek Systems, Inc. All other product names used are trademarks or registered trademarks of their respective owners. This press release is available on the Deltek Web site at www.deltek.com. |
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