M&A
MTSI becomes newest full employee-owned contractor
- By Ross Wilkers
- May 03, 2017
Alexandria, Va.-based Modern Technology Solutions Inc. has become the latest government services contractor in the Washington, D.C. area to transition to a full employee-owned structure.
Phacil completed its move to an ESOP structure at the end of last year. The Arlington, Va.-based IT service provider was founded in 2001 and completed three ESOP transactions over the prior 18 months including the final one. San Diego-headquartered IT consulting firm TechFlow also became an ESOP company last year.
Alexandria, Va.-based MTSI’s move to the 100-percent employee stock ownership plan comes nearly nine years after co-founders Phil Soucy and Tom McMahon first initiated the ESOP in 2008. Soucy and McMahon started MTSI in 1993 and the company has approximately 730 employees.
MTSI recorded $51 million in federal prime contract revenue during the government’s 2016 fiscal year, according to Deltek.
The company reports a 93-percent employee retention rate and 100-percent recompete win record on customer contracts up for renewal over the past three years.
About the Author
Ross Wilkers is a senior staff writer for Washington Technology. He can be reached at rwilkers@washingtontechnology.com. Follow him on Twitter: @rosswilkers. Also connect with him on LinkedIn.