Information on the Target

MCCi, an established leader in business process automation, has recently expanded its portfolio through the acquisition of GovBuilt, a low-code/no-code case management platform tailored for government agencies. This platform is designed to enhance citizen engagement by offering a streamlined, one-stop experience for various governmental services. The acquisition aligns with MCCi's recent recognition as a GovTech100 company for 2023, emphasizing its dedication to advancing technological solutions for its clients.

GovBuilt, headquartered in Manhattan, KS, specializes in community development, permitting, licensing, and government website solutions. With a strong background in government software, the GovBuilt team boasts over 30 years of combined experience working with government employees, contractors, and citizens, which has facilitated the development of an efficient online platform that improves government operations.

Industry Overview in the Target’s Specific Country

The GovTech industry in the United States has seen substantial growth, fueled by increasing demand for digital services from government entities. As municipalities strive to enhance service delivery and citizen engagement, they are increasingly turning to innovative technology solutions that automate and streamline processes. This evolution is essential in addressing the evolving expectations of citizens in an increasingly digital world.

Government agencies across the country are under pressure to operate more efficiently and transparently. As a result, there is a marked shift towards adopting robust technology solutions that facilitate this transformation. The low-code/no-code movement, exemplified by GovBuilt, is gaining traction as it empowers non-technical users within governments to create and deploy applications quickly without extensive coding knowledge.

Moreover, the growing emphasis on data-driven decision-making in government operations has necessitated the implementation of technology solutions that can analyze and utilize data effectively. This trend is propelling GovTech companies, like MCCi and GovBuilt, into the forefront of modernized public administration.

As local governments prioritize modernization initiatives, the GovTech sector is poised for expansion. Investments in technology platforms that enhance operational efficiency and citizen satisfaction are expected to be key drivers of growth within this evolving landscape.

The Rationale Behind the Deal

The acquisition of GovBuilt by MCCi represents a strategic move to bolster its GovTech offerings and enhance its capabilities in providing comprehensive solutions to local government agencies. By integrating GovBuilt’s innovative platform, MCCi can expand its range of services, allowing for quicker implementations and better resource allocation to meet the operational needs of its clients.

MCCi’s investment in GovBuilt also highlights its commitment to adaptability in a rapidly changing market, ensuring it remains aligned with the demands of both government agencies and citizens seeking improved service delivery. This acquisition will enhance the value proposition for MCCi’s existing clientele while attracting a broader user base.

Information About the Investor

Century Park Capital Partners is a Los Angeles-based private equity firm established in 2000, focusing on investments in family-owned businesses, owner-operated firms, and corporate divestitures. With a clear objective of accelerating growth, Century Park specializes in acquiring strategically positioned middle-market companies that face resource constraints but possess potential for significant value creation.

By utilizing a network of seasoned executive partners known as “Century Leaders,” the firm effectively evaluates investment opportunities and guides portfolio companies through the growth and value enhancement process. Their holistic approach ensures that acquired companies, like MCCi, receive the operational support and strategic direction necessary to thrive in competitive landscapes.

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The acquisition of GovBuilt by MCCi presents a favorable investment opportunity, primarily due to the strong alignment of their goals and visions. GovBuilt's customer-centric platform complements MCCi’s existing offerings, promising enhanced operational efficiencies for local government agencies.

This deal strategically positions MCCi to meet the increasing demand for user-friendly government solutions, as municipalities increasingly seek digitization to improve citizen engagement. The synergies between the two firms are anticipated to drive innovation and lead to the rapid deployment of solutions that address the critical operational challenges faced by government agencies.

Moreover, as the GovTech sector continues to grow, MCCi's investment in GovBuilt could yield substantial returns. The focus on low-code/no-code developments aligns with current market trends, indicating a sound forward-looking approach to technology adoption.

In summary, this acquisition not only solidifies MCCi’s standing as a prominent player in the GovTech landscape but also offers the potential for significant growth through enhanced service offerings. The collaboration is expected to generate value for both government clients and the citizens they serve, making it a strategic move for MCCi.

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