Houlihan Lokey Advises KMS Technology
Houlihan Lokey is pleased to announce that KMS Technology (KMS), a leading provider of digital engineering, data, and AI services, has received a strategic investment from Sunstone Partners (Sunstone).
Founded in 2009, KMS is a leading provider of digital engineering, data, AI, and consulting services. The company’s global engineering teams deliver an integrated suite of innovative solutions designed to help businesses accelerate their digital product development and speed to market. Headquartered in Atlanta, with additional offices in Vietnam and Mexico, KMS is committed to driving innovation and delivering exceptional value through a technology-focused, customer-centric approach.
Sunstone is a growth-oriented private equity firm that invests in AI- and technology-enabled services and software companies. The firm partners with exceptional management teams, often as their first institutional capital partner, to help accelerate organic growth and fund acquisitions. Founded in 2015, the firm has $1.7 billion of committed capital under its first three funds. Sunstone has been recognized as one of Inc. magazine’s “Founder-Friendly Investors” in 2020, 2021, 2022, 2023, and 2024.
"We are excited to welcome Sunstone Partners as our new investment partner," said Leo Tucker, CEO of KMS. "This partnership represents a significant milestone for us and aligns perfectly with our vision to accelerate growth and elevate the impact of our services. With Sunstone’s expertise and resources, we look forward to expanding our technological capabilities and delivering even greater value to our clients.”
KMS offers tailored digital engineering, data, AI, and consulting solutions through a combination of onshore, nearshore, and offshore resources, including highly skilled teams across the United States, Mexico, and Vietnam. The company has established a strong reputation for excellence in healthcare, enterprise software, financial services, and other industries, delivering comprehensive digital transformation services that help organizations achieve their ever-evolving business and technology needs.
“We are still in the early innings of massive digitization efforts across enterprises, further accelerated by increased demand related to next-generation data and AI-enabled applications. We see tremendous opportunity in partnering with KMS Technology to apply our expertise to help accelerate growth and innovation,” said Julian Hinderling, Partner at Sunstone. “KMS has built a deep track record of developing mission-critical, revenue-generating products on behalf of their customers. We are excited to support KMS in scaling to the next level.”
Vu Lam, Co-Founder and Board Chairman of KMS, added: "KMS was founded with the vision of bringing outstanding talent and innovation to clients across the globe. The investment from Sunstone Partners is a powerful validation of our business model and will help us scale even further. We’re thrilled to collaborate closely with Sunstone Partners as we enter this new phase of strategic growth and expanded capabilities.”
KMS has long been dedicated to providing organizations with innovative digital transformation solutions through its global centers of excellence. With Sunstone's investment, KMS will continue to build its teams, deepen its service offerings, and broaden its impact in an increasingly competitive and rapidly evolving technology landscape.
Houlihan Lokey served as the exclusive financial advisor to KMS Technology.
Houlihan Lokey’s IT Services team is among the most active M&A advisors in the market, having closed 47 IT services transactions in the past 24 months. This most recent transaction further strengthens Houlihan Lokey’s leadership in the software development and digital engineering universe, including geographically diverse delivery models. The transaction highlights continued momentum in Houlihan Lokey’s IT services vertical, which spans cloud/data and analytics, digital engineering, enterprise applications, and managed and security services.
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