KippsDeSanto’s Bob Kipps on GovCon M&A Market in 2020

Bob Kipps, co-founder and managing director of investment bank KippsDeSanto & Co. and a former Wash100 award winner, told the Washington Business Journal in an interview published Thursday that the company is “bullish” as it looks to the mergers and acquisitions market for government contracting in 2020.

“We expect it to be a very good year, although we could see there being a pause on some kinds of businesses based on the outcomes of the primaries and the ultimate election,” Kipps said. “But generally, we still see the same level of tailwinds with respect to economic confidence, low interest rates and capital availability that have continued to fuel gov-con M&A. I don’t see really a recession in the next two quarters.”

He said modernization and change is another factor that continues to drive M&As in addition to favorable capital markets and economic environment. “In the defense world, we’re playing catch-up in space and in hypersonics against some major nation-states and enemies like China and Russia,” he added.

Kipps also offered updates on the transition since Capital One acquired KippsDeSanto in August.