Clarity Innovations, Chameleon complete their merger / MicroStockHub

Clarity undertakes its first significant transaction as a portfolio company of Capitol Meridian Partners.

Clarity Innovations, a data and cyber services provider to government agencies, has merged with Chameleon Consulting Group to form a larger technology integrator focused on clients in the defense and intelligence communities.

Terms of the transaction announced Monday were not disclosed, but Clarity said its co-founder and chief executive Wes Daniels will lead the combined entity as CEO. Chameleon’s co-founders Tim Berzins and Byron Williams will move into new senior executive positions.

For Clarity, this move follows its sale in late 2023 to the private investment firm Capitol Meridian Partners and the March announcement of CMP's first fund with $900 million in capital commitments.

CMP backed the merger through Fund I. Members of the management teams from Clarity and Chameleon also contributed equity.

Berzins, Williams and their colleagues founded Chameleon in 2018 as a provider of cyberspace and information operational support to defense and intelligence agencies.

Chameleon's group of advisers for the transaction included Baird and Pipaya Partners on its financial aspects, while Miles & Stockbridge worked on the legal matters.

Clarity and Capitol Meridian Partners received M&A advisory support from Macquarie Capital, financial advisory support from PwC and legal help from Latham & Watkins.

Macquarie Capital also provided financing for the merger.