Global consulting and digital services provider ICF has entered into a definitive agreement to acquire Creative Systems and Consulting, a provider of IT modernization and digital transformation solutions to U.S. federal agencies
ICF estimates Creative will generate approximately $60 million in revenue in 2021. ICF also anticipates it will maintain a post-acquisition revenue growth rate during 2022 in the mid-teens.
Creative’s margins are at the high end of the ICF federal government range, and the transaction is expected to be slightly accretive to ICF’s GAAP EPS in 2022.
The acquisition is subject to customary closing conditions and is expected to be finalized before the year-end.
Creative’s 270-person team provides federal agencies with capabilities including digital strategy, cloud and infrastructure solutions, customer experience and data analytics.
This transaction is aligned with ICF’s strategy of pairing organic growth with acquisitions that bolster the company’s position in key growth markets, said John Wasson, ICF chairman and CEO
“We expect this acquisition to provide significant opportunities for revenue synergies over time as ICF now will offer leading practices supporting the most highly adopted low-code/no-code platforms in the federal government,” he added.
Creative brings over 900 technical and platform certifications, including over 300 in Salesforce, 50+ in Microsoft and 160 in ServiceNow. It has supported over 200 federal cloud and infrastructure projects.
“We are excited by the opportunity to join ICF and build on their strong digital transformation capabilities and leading platform partnerships,” said Vanitha Khera, Creative CEO. “Together, we will offer an unparalleled portfolio of digital services along with our world-class domain expertise — from strategic advisory to analytics to platforms and agile delivery — as federal agencies work to generate scalable, more efficient, and cost-effective outcomes.”
