Cherokee Federal, a division of Cherokee Nation Businesses (CNB), announced the launch of Sovereign Capital, a new growth capital firm designed to leverage Cherokee Federal’s experience in the federal contracting sector.
The creation of Sovereign Capital marks a strategic move by CNB to expand its influence in the government contracting market by investing in small businesses poised for significant growth.
As its first major investment, CNB acquired a majority stake in Advanced Technology Applications (ATA), a Virginia-based small business that provides comprehensive data-intensive solutions across multiple sectors. Terms were not disclosed.
Founded in 2008, ATA serves a wide range of federal clients, including the U.S. Department of Homeland Security, the U.S. Department of Defense, and the U.S. Intelligence Community. The acquisition aligns with Sovereign Capital’s strategy of funding founder-led companies at critical inflection points, providing both capital and strategic guidance for accelerated growth.
“With Sovereign Capital, we have a distinct opportunity to leverage decades of experience in federal contracting and a successful track record of achieving growth through M&A activity,” Steven Bilby, president of Cherokee Federal and Sovereign Capital, said in a statement. The new investment fund aims to identify and nurture companies that perform work for the federal government and are ready to scale. The firm’s focus on founder-led companies positions it to be a significant player in the federal contracting space, particularly for small businesses seeking rapid expansion.
Sovereign Capital is “much more than an investment firm – it is a catalyst for the transformative growth of small businesses,” Squire Lawrence, vice president and general manager of Sovereign Capital, said in a statement. “Our team of tenured and experienced leaders are passionate about extending our reach in the expansive government contracting space and investing in highly capable businesses.”
The acquisition of a majority stake in ATA, Lawrence said, “aligns perfectly with our strategic goals.”
ATA President and CEO Craig Parisot echoed the strategic fit of the partnership. “We were evaluating a number of different strategies to achieve our next stage of growth, and the partnership with Sovereign Capital clearly stood out as the right fit,” Parisot said in a statement. “What energizes us the most about this new partnership is leveraging an extended range of contracting solutions which makes it easy for our customers to access ATA’s expertise and technical solutions.”
