NTT Data Services has agreed to acquire McLean, Va.-based information technology and digital services contractor NETE for an undisclosed sum in an effort to broaden its digital transformation capabilities in the federal health care space.
The transaction will bring to NTT Data more than 300 personnel and is expected to be completed later this year, subject to regulatory approvals and other customary closing conditions, NTT Data said Wednesday.
“NETE has pioneered innovative health technologies and supported the prevention, detection, diagnosis and treatment of diseases and disabilities both domestically and internationally,” said Tim Conway, president of public sector at NTT DATA Services and a previous Wash100 award winner. “Their digital capabilities and thought leadership enhance the value NTT DATA can deliver to our public sector healthcare clients.”
NETE has more than 20 years of experience delivering cloud, cybersecurity, Agile application development, advanced data analytics, clinical/bioinformatics and other digital services to the National Institutes of Health and other agencies within the Department of Health and Human Services.
Sandeep Somaiya, managing director at NETE, said the company’s employees and customers will benefit from NTT Data’s health care and public sector experience as well as digital transformation investments, infrastructure, global research and development and other resources. Somaiya will continue to serve as a member of NTT Data’s public sector leadership team.
Baird acted as NETE’s exclusive financial adviser in the deal.
“This transaction illustrates the continued consolidation of mid-tier companies by larger strategic buyers, and the prioritization of companies with a strong focus in innovative digital transformation solutions to the growing federal health IT market,” Alex Sevilla, a director at Baird, told GovCon Wire.