Arlington Capital Partners Acquires New Software Consultancy

In the pursuit of increasing investments in systems engineering and integration, Arlington Capital Partners has just acquired program management service provider and software consultancy firm MCR LLC.

The McLean, Virginia-based company was first founded in 1977 and has since provided technology and software services to multiple defense, intelligence, and civilian government agencies including the Departments of Defense, Energy, Interior, and Homeland Security, along with agencies like the CIA, NASA, and NATO.

This acquisition will expand Arlington’s government contracting portfolio, giving the firm access to system engineering, software development, and program management services across the federal sector and with NATO customers. This transaction also included some investment from MCR’s senior management team, though the exact breakdown of ownership remains undisclosed.

With Arlington’s guidance and capital now at MCR’s disposal, it is likely that the company will now be able to grow at a faster rate than before, with new capabilities to ramp up its execution of analytics, management, and talent recruitment.

“MCR has established itself as a preeminent provider of differentiated systems engineering and integration solutions that address critical national security objectives in the space, cyber and missile defense domains.... We see enormous demand in the market for MCR’s services, and we believe that with our investment in the business, MCR is very well positioned for the significant growth in front of it,” David Wodlinger, a Partner at Arlington Capital, said in a statement.

Arlington Capital has always had a special interest in middle-market investment opportunities, namely in industries like aerospace, defense, healthcare, software, and government technology. Founded in 1999 and headquartered in Chevy Chase, Maryland, ACP is one of the most active firms in its region, closing eight deals in the last year alone. The company has nearly 90 buyouts under its belt, and shows no sign of stopping its acquisition furor.

Sheppard Mullin acted as Arlington’s legal adviser, while Houlihan Lokey and Holland & Knight acted as MCR’s financial and legal advisers for the agreement. The financial terms of this deal were not disclosed.