Advanced IT Concepts acquired by Maryland private equity firm

Orlando simulation company Advanced IT Concepts LLC (AITC) has been acquired by Rockville, Maryland-based private equity firm Fvlcrum.

The terms of the deal were not disclosed. Details of the Aug. 31 deal were not released until Sept. 29.

Advanced IT Concepts is the first local simulation startup to be acquired, said CEO Dena Jalbert of Orlando-based Align Business Advisory Services, who advised the local firm on the deal. She added that the acquisition is indicative of interest in the fast-growing sector. 

“I think you're going to see more transactions like this in in the coming years, for sure, and I think AITC is paving the way. The M&A market remains really strong, especially in IT services, government and defense because of the spending in this sector."

Advanced IT Concepts will not move to a new location following its acquisition, said Jalbert. “Think about it. They’ve got their biggest customers right down the road, like Lockheed Martin. With these types of M&A deals, they stay here and grow locally. Florida is such a business-friendly state that it's easier to grow here than in other markets.”  

Why the acquisition of simulation company Advanced IT Concepts is important

Orlando is widely recognized as the global center of the simulation industry. CEO George Cheros of the National Center for Simulation said the industry is estimated at about $7 billion in the region, a number that’s growing fast. Worldwide, the industry is valued at $21 billion, according to Grand View Research, and will climb to $51 billion by 2030. Given that Orlando is the locus of the industry, this will mean more high-paying jobs for Central Floridians, as the average salary in the field is $97,266 per year according to jobs website Zippia. 

Advanced IT Concepts President Gabriel Ruiz, who couldn't be reached for comment by press time, said earlier this year that his company wants to grow its international business. “We're also looking at expanding capabilities by standing up production capability of military training hardware and significantly expanding cybersecurity offerings."

Advanced IT Concepts is a minority- and veteran-owned firm, ranked No. 53 on OBJ’s 2023 Golden 100 list of the region's largest privately held companies based on revenue. The company has made the list every year since 2020. The firm is also the area's 10th-largest modeling, simulation and training company, based on the number of local employees. 

Last week, Darren Soto, a congressman for Florida’s 9th district, made a stop at Advanced IT Concepts to show off the company’s success to Small Business Administration (SBA) Administrator Isabella Casillas Guzman, who visited Orlando as part of the Latino Prosperity Tour. 

“We wanted Guzman to see a company that was started from scratch and benefitted from the SBA’s 8(a) business development program. The founder served in the Army, and by working with the SBA, built multimillion-dollar company,” Soto told OBJ. 

Advanced IT Concepts offers a range of IT services — training simulations, cybersecurity and more — positioned for Department of Defense use, and recently secured Army Training Aids, Devices, Simulators and Simulations Maintenance Program, Total Engineering and Integration Services III and Maneuver Control System contracts. 

Investment firm Fvlcrum channels investments to lower middle market, minority-owned companies based in the United States.

Advanced IT Concepts LLC

For more stories like this one, sign up here for Orlando Inno newsletters from the Orlando Business Journal and the American Inno network. And be sure to follow us on LinkedIn, Facebook and X (formerly known as Twitter).