IT services provider Maximus sells unit

Maximus, a provider of program management, consulting and information technology services to the government, has sold its Correctional Services Division to Providence Service Corp.

Under the terms of the agreement announced today, Providence will pay $3 million in cash and assume certain liabilities.

Maximus provides technology tools to make federal, state and local government agencies operate more effectively and efficiently. The Correctional Services Division serves criminal justice agencies, including courts, probation and parole agencies, law enforcement agencies, and pre-trial programs.

Richard Montoni, the company’s chief executive officer, said the sale is "in line with our long-term strategy of divesting certain businesses that no longer complement our growth plan.”

He said Providence is a well-respected provider of community-based social services and the Correctional Services Division fits well with its service offerings.

Maximus is based in Reston, Va., and has more than 5,200 employees in offices in the United States, Canada and Australia.

About the Author

David Hubler is the former print managing editor for GCN and senior editor for Washington Technology. He is freelance writer living in Annandale, Va.

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