Montréal-based public sector procurement platform Sovra, formerly known as MDF Commerce, has introduced a new CEO, acquired Calgary-based software startup Ontopical, and divested six “non-core” businesses to enhance its standing in the government tech arena.
Originally founded in 1996, MDF Commerce offered a wide range of e-commerce and procurement software solutions prior to its acquisition by New York-based investment firm Kohlberg Kravis Roberts (KKR) and its subsequent delisting from public markets in May. Now rebranded as Sovra in August 2024, the name reflects its focus on the public sector, combining themes of “sovereignty” and “strategic analysis.” The platform aids governments in sourcing and managing procurement contracts.
The revamped focus on government technology will be led by the newly appointed CEO, Tom Spengler, who has been on Sovra’s board for under a year. Spengler brings over 20 years of leadership in various government tech firms, notably spending significant time with Denver-based civic engagement software platform Granicus. He takes over from Luc Filiatreault, who was CEO for six years and managed MDF’s transition to a private company last year. Filiatreault has been recognized by Sovra for his contributions in growing MDF through strategic acquisitions and laying a strong foundation to position the company as a GovTech leader. He will continue on Sovra’s board in an advisory capacity.
In his own statement, Spengler expressed enthusiasm about Sovra’s mission and anticipated building on the robust groundwork established by Filiatreault, with a particular emphasis on expanding the platform and reinforcing Sovra’s presence in the GovTech market.
Moreover, Sovra has offloaded six “non-core” businesses to refocus capital resources on its primary objectives. The businesses sold include Carrus, Polygon, and The Broker Forum, acquired by Montreal-based Valsoft, a vertical software company acquirer. The remaining three businesses, Jobboom, kCentric, and Orckestra, were sold to an undisclosed software acquirer.
Alongside these divestitures, Sovra has acquired Ontopical, a Calgary-based government intelligence platform, for an undisclosed amount. Ontopical employs its proprietary AI platform Oliver to enable suppliers to identify early-stage opportunities ahead of the issuance of requests for proposals (RFPs). Sovra views pre-RFP intelligence as a complementary extension of its supplier platform, providing vendors more time to identify and compete for government contracts.
Ontopical CEO Clayton Feick will join Sovra as president of Sovra Supplier, while Ontopical founder Derrick Koenig will lead the Supplier product team. The acquisition also initiates Sovra’s new AI Center of Excellence, intended to boost the development of intelligent features and automation across its platform. Feick remarked on the collaboration, highlighting the opportunity to leverage Sovra’s reach and resources to assist more businesses in accessing public sector demand efficiently.
Sovra connects over 7,000 government agencies with a network of more than one million suppliers.