Robert Bodansky Quoted in Washington Business Journal
“Private Equity’s New Target: Government Contractors”

Corporate and Real Estate Partner Robert Bodansky was quoted in an April 8 Washington Business Journal article regarding the recent purchase of SRA International Inc. by Providence Equity Partners LLC. Robert surmised that Providence has a plan for SRA involving other companies in its portfolio.

“They will either link companies through teaming arrangements of some sort or combine them into a new whole that is better than its individual parts,” remarked Robert. He went on to add that this approach represents a shift from four or five years ago, when private investors would combine between five and seven government contractors into a larger organization that they would take public.

“That strategy is dead and gone,” Robert said. “A few did it well, but a lot didn’t, mainly because they didn’t understand government contracting. A more sophisticated buyer could change that model slightly, combining companies that play in different markets and offer [complementary] capabilities to offer something better, bigger and different. That’s what we’re seeing now.”