SMX acquires budget management tech provider

SMX, the digital transformation specialist backed by OceanSound Partners, has acquired a provider of budget and financial management technology solutions to push further into the business processes at federal agencies.

CBEYONData becomes the foundation for SMX’s new horizontal enterprise systems and solutions business unit, led by its president Sandeep Dorawala. Financial terms of the transaction announced Tuesday were not disclosed.

Dorinda Schmidtknecht and her husband David founded cBEYONData in 2010 to work with government agencies on implementing new processes and technology tools for managing their financial, planning and other key business functions.

The newly combined company also touts relationships with commercial tech brand names such as Oracle, SAP, Momentum, Amazon Web Services, Microsoft Azure and Google Cloud. CBEYONData’s three primary customers are the Homeland Security and Justice departments, along with the Army.

“CBEYONData brings valuable scale and technical expertise to our strategic growth plan to expand our work supporting the business of government,” SMX’s chief executive Peter LaMontagne said in a release. “CBEYONData’s successful solutions at the ‘nexus of data and dollars’ is particularly relevant today as government executives and senior military leaders focus on financial transparency and accountability.”

OceanSound formed SMX in 2019 through a pair of acquisitions, which have been followed by a series of add-on purchases and organic growth to a company that touted 1,000 employees and $1.2 billion in revenue for 2023.

SMX is also a part of a single-asset continuation fund backed by Apollo Group, one of the world’s handful of alternative asset management firms that needs little introduction into the world of business. OceanSound remains the controller and manager of SMX.

In February 2024, LaMontagne joined our WT 360 podcast to preview SMX’s next steps and explain where the company focuses its energy in the broad spectrum of digital transformation.

For cBEYONData, its sale to SMX concludes roughly three-and-a-half years of being supported by Bluestone Investment Partners.

KippsDeSanto & Co. and G Squared Capital Partners worked as financial advisers to cBEYONData and Bluestone, whose legal counsel was Holland & Knight. Gibson, Dunn & Crutcher LLP worked as legal counsel to SMX.