Houlihan Lokey Advises Parry Labs

Transaction: Parry Labs - Capitol Meridian Partners

Houlihan Lokey is pleased to announce that Parry Labs, LLC, has successfully completed an $80 million growth equity raise, the company’s first institutional investment round. The strategic growth equity round was led by Capitol Meridian Partners and included participation from True Ventures, as well as 3Wire Partners and Teamworthy Ventures. The transaction closed on August 28, 2024.

Founded in 2016 and headquartered in Washington, D.C., Parry Labs is a digital systems integrator uniquely capable of modernizing legacy military platforms and accelerating new platform development. The company offers an open architecture software stack known as Stratia, which serves as the digital backbone of its edge compute solutions, as well as electronic warfare products that enable defense customers to advance key national priorities. Parry Labs has redefined the edge for the modern battlespace with digital systems integration that delivers rapid capability deployment and decisive combat advantage. The growth capital will primarily be used to accelerate investments in the company’s core technologies and to bring new, advanced edge capabilities to the warfighter—including command and control, mission-critical software, interoperability, and advanced AI computing.

Capitol Meridian Partners was formed in 2021 to invest at the nexus of government and commercial markets, targeting opportunities where the firm can invest and drive value creation through active engagement with management. The firm draws upon the deep network of industry veterans curated with more than 27 years of principals’ experience in the sector to bring thoughtful strategic resources to each investment opportunity.

Houlihan Lokey served as the exclusive placement agent to Parry Labs and assisted in structuring and negotiating the transaction on its behalf. This transaction underscores the firm’s continued global leadership and deep experience in the defense technology sector.

Since 2020, Houlihan Lokey’s Aerospace, Defense & Government practice has closed more than 70 transactions worth over $12 billion in enterprise value. With a staff of approximately 20 financial professionals, Houlihan Lokey’s Aerospace, Defense & Government practice is among the largest dedicated industry banking teams worldwide.

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