Insights
Market reports, transaction news and technical commentary.
The McLean Group
Press Release · Aug 2026The McLean Group Advises TENICA Global Solutions on Majority Investment by McNally CapitalThe McLean Group served as financial advisor to TENICA Global Solutions on its majority investment from McNally Capital, a Chicago-based private equity firm focused on founder-, family-, and management-led businesses in national security, defense, and industrial technology. TENICA, headquartered in Chantilly, Virginia, provides integrated engineering, mission operations, cybersecurity, and digital modernization solutions supporting critical space, intelligence, and defense missions for the U.S. Intelligence Community and Department of War.
Press Release · Jul 2026Q2 2026 Mergers & Acquisitions Market UpdateThe McLean Group's Q2 2026 M&A Insider Report tracks deal activity across Defense, Government & Intelligence, Physical & Cyber Security, Critical Infrastructure, and Maritime. Defense led the quarter with 98 closed transactions, headlined by TransDigm's $2.2B acquisition of Victor Sierra Aviation and Jet Parts Engineering and Howmet Aerospace's $1.8B acquisition of Consolidated Aerospace Manufacturing, with the Defense Systems index (+32.7%) topping all others over the trailing twelve months amid the Pentagon's post-Iran munitions surge. Physical & Cyber Security closed 34 transactions led by ServiceNow's $7.75B acquisition of Armis, with Cyber/Technology Security EBITDA multiples reaching 81.7x LTM. Critical Infrastructure closed 38 transactions and Maritime moderated to 13 amid Red Sea rerouting and Panama Canal constraints. The full report includes sector commentary, EBITDA valuation multiples, public company benchmarks, and representative transaction data for each sector. […]
Press Release · Jul 2026The McLean Group Advises ESChat on Its Acquisition by JVCKENWOOD CorporationThe McLean Group served as exclusive financial advisor to ESChat (San Luis Aviation, Inc.) on its acquisition by JVCKENWOOD Corporation (TSE: 6632), a global electronics company and provider of professional radio communications systems. ESChat, based in San Luis Obispo, California, is the only FedRAMP Authorized broadband Push-to-Talk service, serving more than 700,000 users across public safety, government, and enterprise markets.
Press Release · Jul 2026The McLean Group Advises Highlight Technologies on Its Announced Acquisition by Empower AIThe McLean Group served as exclusive financial advisor to Highlight Technologies, a Fairfax, Virginia-based, employee-owned federal IT services firm, on its acquisition by Empower AI, a KKR portfolio company. The combination expands Empower AI's ability to deliver AI-driven, cloud-enabled mission solutions across the federal government, strengthening capabilities in DevSecOps, artificial intelligence, data management, and cloud modernization while broadening support for high-priority modernization initiatives at the Departments of State and Homeland Security. The transaction, effective July 6, 2026, brings together Empower AI's accelerator-based model for scalable AI delivery with Highlight's mission-focused execution and its proprietary AIDE (AI Data Integration & Orchestration Engine) platform.
Press Release · Jun 2026Goodwill Impairment Testing Under ASC 350: What PE-Backed Companies Need to KnowGoodwill impairment testing under ASC 350 is an annual obligation with real financial consequences, and rising discount rates have made a poorly documented analysis more costly than ever. In this article, The McLean Group's Valuation Advisory team examines how the quantitative test works, what triggers interim testing outside the annual cycle, and what a defensible file actually contains. For PE-backed companies approaching an exit, the difference between a well-supported charge and a reactive one can meaningfully affect both timeline and price.
Market Report · Jun 2026Monthly Middle Market M&A Insider Report (May 2026)The McLean Group's May 2026 M&A Insider Report tracks deal activity across Defense & Government, Physical & Cyber Security, Critical Infrastructure, and Maritime. This month's edition highlights notable transactions including Parker Hannifin's announced $2.55B acquisition of CIRCOR's Commercial and Defense Aerospace business from KKR, VSE Corporation's $2.15B closing of Precision Aviation Group to build a 61-location aviation aftermarket platform, and Rocket Lab's $60M acquisition of Motiv Space Systems, adding Mars-proven robotics to its portfolio. The report also includes public company trading comps and EBITDA valuation multiples across all four sectors. Public market multiples are provided for reference purposes and reflect traded equity values, which may differ materially from private company transaction pricing.
Press Release · Jun 2026McLean advised Vanteon on announced acquisition by PDWThe McLean Group served as exclusive financial advisor to Vanteon Corporation on its announced acquisition by PDW Holdings, Inc., an American drone company that designs, engineers, and manufactures unmanned systems and solutions for defense and public safety. Based in Rochester, NY, Vanteon brings more than 40 years of advanced communications, RF, and software-defined radio expertise to PDW, strengthening the company's ability to deliver resilient connectivity and next-generation sUAS capabilities at the tactical edge. The transaction reinforces The McLean Group's continued leadership advising Defense and Unmanned Systems sector companies through transformative transactions.
Press Release · May 2026Labor Retention and Quality of Earnings: Understanding People-Driven Margin RiskWorkforce stability is one of the most overlooked drivers of earnings quality and in people-driven businesses, it can make or break a transaction.Workforce stability is one of the most overlooked drivers of earnings quality and in people-driven businesses, it can make or break a transaction. In this article, The McLean Group's Financial Consulting team examines how labor retention risk surfaces during a Quality of Earnings analysis, why below-market compensation and key-person dependencies can distort reported EBITDA, and what buyers and sellers should evaluate before reaching the diligence table. From government contracting to IT services and professional services, the people behind the numbers matter just as much as the numbers themselves, and understanding that dynamic is increasingly essential to assessing the true sustainability of earnings in any middle market transaction.
Press Release · May 2026How Earnouts Affect Transaction Valuation: The Technical Framework Under ASC 805Earnouts are one of the most powerful and most misunderstood tools in middle-market M&A. When buyers and sellers cannot agree on value, a well-structured earnout bridges the gap. But under ASC 805, the accounting treatment is anything but simple: contingent consideration must be measured at fair value on Day One, classified as liability or equity with real P&L consequences, and remeasured every reporting period for the life of the arrangement. For PE sponsors and portfolio company CFOs, the decisions made at the term sheet stage, including metric selection, settlement structure, and discount rate methodology, determine not just deal economics but how results are reported to lenders, boards, and investors long after close. This article breaks down the technical framework so you can structure earnouts that work the way you intend them to.
Market Report · May 2026Monthly Middle Market M&A Insider Report (April 2026)The McLean Group's April 2026 M&A Insider Report tracks deal activity across Defense & Government, Physical & Cyber Security, Critical Infrastructure, and Maritime. This month's edition highlights notable transactions including York Space Systems' $355M acquisition of satellite communications firm ALL.SPACE, Scale AI's acquisition of defense data analytics firm ICG Solutions, and Ondas' two-deal sprint adding World View Enterprises and Mistral to its autonomous intelligence portfolio. The report also includes public company trading comps and EBITDA valuation multiples across all four sectors. Public market multiples are provided for reference purposes and reflect traded equity values, which may differ materially from private company transaction pricing. Download the full report at mcleanllc.com.
Press Release · May 2026The Value of a QofE Beyond Standard EBITDA NormalizationsA Quality of Earnings review delivers value well beyond confirming normalized EBITDA.A Quality of Earnings review delivers value well beyond confirming normalized EBITDA. While standard adjustments address non-recurring items, a rigorous QofE examines revenue quality, customer concentration, working capital trends, and accounting policy risks that directly influence enterprise value and deal structure. For buyers, this analysis sharpens the basis for purchase price and surfaces integration risks before close. For sellers, a sell-side QofE strengthens credibility, accelerates diligence timelines, and reduces the likelihood of price chips late in the process. In middle market transactions, where financial reporting is often less formal, the depth of a QofE can be the difference between a clean close and a renegotiated deal.
Press Release · Apr 2026PCC Elections for Private Company Acquisitions: What PE Sponsors, Portfolio Company CFOs, and Their Advisors Need to Know Before Making the CallPrivate Company Council (PCC) accounting elections offer PE-backed companies a meaningful opportunity to reduce the scope and cost of purchase price allocation work, but the decision carries long-term implications that extend well beyond the close. Under ASU 2014-02, private companies may amortize goodwill on a straight-line basis over up to 10 years, eliminating the burden of annual impairment testing. Under ASU 2014-18, customer-related intangibles and noncompetition agreements may be subsumed into goodwill rather than separately recognized and valued. Together, these elections can streamline acquisition accounting and lower ongoing audit and compliance costs, but they also introduce restatement risk if the portfolio company later pursues an IPO or is acquired by a public buyer. For PE sponsors, the decision should be evaluated in the context of the fund's exit thesis and applied consistently across portfolio companies.Marine Practice — DLS
Press Release · Mar 2021McLean Adds Asset Valuation Practice With Investment in DLS MarineThe McLean Group is pleased to announce that it has made a strategic investment in DLS Marine, the leading maritime asset valuation and appraisal firm in the United States.
Industry · Jul 2025U.S. Shipbuilding ExpansionThe ongoing growth of shipbuilding in the United States, including the increasing involvement of Korean shipbuilders Hanwha Ocean and HD Hyundai.
Industry · May 2025What 2024 Financials Reveal About the Marine Industry’s FutureSelect 2024 10-K annual statements, with a focus on each company’s assets and production, business performance and expectations for 2025.
Marine News · Apr 2025Bits-and-PiecesFrom the USS Nautilus to Russia’s nuclear icebreaker fleet — a look at where nuclear propulsion did and did not take hold at sea.
Industry · Jan 2025Opinions Agree on an Interesting Economic YearWith 80% of the world’s raw and completed products moving via merchant vessels, geopolitical shifts in the maritime sector reach consumer prices.
Hull & Machinery · Nov 2024It’s All Up in the AirDrones are among the fastest-growing tools in vessel inspection, as certification and ongoing inspection of new systems grows more difficult.
Industry · Oct 2024Methanol: A Look at Owner’s Alternatives for GreeningMethanol has become the most popular alternative fuel in the global newbuild orderbook alongside LNG, but high cost has slowed long-term commitment.
Industry · Jun 2024Flotsam & Jetsam — A Look at Maritime SectionsWith new GHG regulations and corporate ESG concerns, designs and outfitting are changing faster than at any point in the previous 80 years.
Appraisal · Apr 20242023 10-K Annual Statements — Corporate Cliffs NotesDigging into the 10-K reports of publicly traded marine companies to see what the numbers say about the current state of profit and risk.
Inland · Mar 2024Hot Air?U.S. offshore wind farms come up frequently in the news. A look at who the operators actually are, and where the sites sit.
Industry · Jan 2024Current Battery Science in Transportation and an Ongoing Look at InlandBasic information on the new generation of batteries and the systems needed for stored electrical power to take over from fossil fuels.
Industry · Nov 2023The Fuel Race Revisited… and Other SubjectsThe fuels of the future are already impacting commerce, from electric and natural gas vehicles to billions diverted into alternative fuel R&D.