Recruitment company On Assignment, Inc. has signed a definitive agreement to acquire ECS Federal, LLC for $775 million. The cash deal, subject to regulatory approvals and customary closing conditions, is expected to close early April.
Among the largest privately held government services contractors, ECS Federal provides IT expertise to public sector entities. Post-acquisition, it will become a division of On Assignment, operating under the ECS brand name. ECS CEO George Wilson and the current leadership team will continue executing the strategy and overseeing the day-to-day operations.
“This is a terrific outcome for our company, partners, and talented employees,” Roy Kapani, ECS founder and majority owner, said in a statement. “Since ECS launched in 2001, we have sought to provide our customers with the tools, people and deep technical expertise they require to execute and support their objectives. I also appreciate our partnership with Lindsay Goldberg, who understood and appreciated our vision and worked closely with us to help transform ECS into an industry leader.”
On Assignment plans to change its name to ASGN Incorporated to better reflect its evolving role as a leading provider of human capital in IT and professional services solutions.
“Congratulations to Roy, George, Tom and the ECS team as well as Lindsay Goldberg,” Bob Kipps, managing director at KippsDeSanto & Co., said in a statement to WashingtonExec. “They’ve built an amazing company which should be a great Federal platform for On Assignment. The deal and buyer reflect today’s increased attractiveness of the Federal vertical and increasing number of parties (financial and corporate) interested in it.”
Related: ECS Federal Acquires InfoReliance