Sagewind Capital Portfolio Company GCOM Acquires Three Sigma
Transaction combines two high-growth, mission-driven software companies focused on rapidly expanding market segments
New York, NY (November 9, 2018) – Sagewind Capital LLC (“Sagewind”), a New York-based private equity firm, announced today that its portfolio company, GCOM Software LLC (“GCOM”) has acquired Three Sigma Software (“Three Sigma”), the leading provider of software and services for the Federal Women, Infant, and Children (“WIC”) Food and Nutrition Service program. Financial terms of the transaction were not disclosed.
GCOM delivers technology services and solutions to state and local governments focused on modernizing and consolidating legacy IT systems in the public health, public safety, licensing and permitting and cyber security markets. Its innovative solutions enable governments to transform how they deliver resident and business services.
Three Sigma is the leading provider of mission-critical software systems that streamline the delivery and administration of WIC, a critical federal assistance program that currently serves over 7 million households per month and involves significant administrative processes. Three Sigma currently supports the WIC program in 11 states, 10 Native American Reservations, and 1 U.S. territory.
Together, GCOM and Three Sigma offer an expanded range of high-growth, in-demand enterprise and operational services to existing customers, while also becoming more competitive for highly sought-after work in the state government marketplace.
“We are proud to support GCOM in its acquisition of Three Sigma,” said Steven Lefkowtiz, Managing Partner of Sagewind. “Three Sigma’s complementary software development capabilities and industry-leading market position make it an ideal first acquisition for GCOM. We look forward to supporting the combined company as it capitalizes on its many attractive growth opportunities.”
“Our merger with Three Sigma represents a significant milestone in the achievement of our vision to strengthen our services offerings, expand our client base, and provide additional professional growth opportunities for our employees,” added Girish Bhatia, CEO and Founder of GCOM. “With the skills and experience of Three Sigma, GCOM is now even better positioned to support customer needs across all 50 States.”
Three Sigma will become a wholly-owned subsidiary of GCOM and will continue to be led by Founder and CEO TC Mullany and its current management team. Three Sigma’s sixty-five employees will also join GCOM.
DCS Advisory acted as exclusive financial advisor to Three Sigma in connection with the transaction.
About Sagewind Capital LLC
Sagewind Capital LLC (www.sagewindcapital.com) is a New York-based middle-market private equity firm. Sagewind Capital seeks to build a concentrated portfolio of companies that have the potential for organic growth and can serve as platforms for substantial value creation through a buy-and-build strategy. Since inception, Sagewind has made six investments across a number of industries, including government services, software, information technology, healthcare and business services.
Founded in 2005, GCOM (gcomsoft.com) delivers innovative technology solutions to the public sector, with a focus on modernizing and consolidating legacy IT systems in the public health, public safety, licensing and permitting and cyber security markets. GCOM has established an outstanding reputation as a business partner that helps clients improve operational performance using modern, scalable technology to facilitate systems integration while mitigating risk. Its diverse team of experts brings the know-how to maximize agency technology investments to deliver both tactical and strategic solutions to our clients’ challenges.
About Three Sigma
Headquartered in Laurel, MD, Three Sigma Software (http://3sigmasoftware.com/) was founded in 2003 and is the leading provider of mission-critical software systems for the delivery and administration of the Federal Women, Infant and Children food and nutrition programs. Three Sigma software serves families in 11 states, 10 Indian reservations and 1 U.S. territory. Its customized WIC systems offer solutions for both EBT and coupon-based WIC environments, support scanners and signature pads, and allow for interfaces to many other services.