Maximus acquires Houston veterans services company for $1.4B
VES conducts medical disability exams for veterans
Reston-based government services company Maximus announced Wednesday that it will purchase the parent company of Veterans Evaluation Services Inc. (VES) for $1.4 billion.
Based in Houston, VES is a privately held company that serves the federal government, including the U.S. Department of Veterans Affairs, as a provider of medical disability examinations to determine veterans’ eligibility for compensation and pension benefits.
The acquisition is expected to close during Maximus’ third fiscal quarter.
In a news release, Maximus stated that the acquisition matched several of its corporate strategic priorities, including providing large-scale outsourcing of clinical services and expanding in the U.S. federal market. Maximus said that the deal also complements its March acquisition of the federal division of McLean-based Attain LLC for $430 million by “expanding the company’s support of the U.S. Department of Veterans Affairs and creating new opportunities to apply digital solutions to improve citizen services.”
“We welcome the employees of VES, who are leaders in serving the U.S. Department of Veterans Affairs and, together with Maximus, will continue to support our nation’s heroes, through programs and services targeted at addressing the personal, health and employment needs of veterans and their families,” Maximus President and CEO Bruce Caswell said in a statement.
“We are pleased to enter into this transaction with Maximus, an organization that shares the unwavering commitment to veterans that has always been the core of the VES mission,” VES founder George Turek said. “We admire the Maximus organization’s high-quality reputation and track record of operating and managing large complex programs and performing mission critical functions for government agencies. Maximus brings additional resources, scale and technology innovation that will position VES to provide enhanced service to our nation’s veterans while maintaining industry-leading medical disability examination services.”
With more than 30,000 employees worldwide and $3.46 billion in 2020 revenues, Maximus promotes itself as the nation’s largest Medicaid enrollment administrator. The company was founded in 1975 and provides business process management and technology services.