By Todd Cohen
Neulogic, a Columbus, Ohio, firm that provides web communications solutions for nonprofits and other business organizations, has agreed to be sold to Brightstar Information Technology Group in Pleasanton, Calif.
The purchase price was not disclosed.
Neulogic also has agreed to merge its products with all the software and services provided by Stellar Financial, a firm in Stroudsburg, Pa., that offers a fully integrated back-office operating system.
Stellar Financial, which is privately held, and Brightstar Information Technology, a publicly-held firm, both are owned by Stellar-McKim, a privately-held New York City-based group of software financial services and investment banking companies.
Brightstar, an information-technology professional-services provider, has a limited number of large contracts, mainly with government agencies, to maintain their existing technology infrastructure and integrate it with new technologies those agencies add.
Scheduled to take effect before the end of the year, the two deals immediately will double Neulogic’s staff to roughly 40 employees, with offices in Columbus, Denver and New York City, and will allow Neulogic to focus solely on nonprofit clients, says Marsh Williams, a founder and principal of the firm.
“Our sole reason for existence is to serve the philanthropic market,” he says. “We’re taking a product from Stellar Financial, and the products and brand of Neulogic, and putting all of that under Brightstar.”
Neulogic will keep its name, brand and products, Williams says, and will offer fully integrated solutions ranging from web communications to back-office operations involving finance and managing donors and grantees.
Fundraising products also will be developed, he says.
Through a strategic partnership, Neulogic provides solutions to a majority of members of Community Foundations of America in Louisville, Ky.
[The Philanthropy Journal also is a Neulogic client.]
Stellar Financial clients include Jewish Federation endowment programs, Christian foundations, corporate foundations and international philanthropic clients.
For the three months ended June 30, Brightstar Information Technology reported a net loss of $62,000, compared to a net loss of $204,000 for the same period a year earlier.
Revenue for the second-quarter totaled $669,000, down from $842,000 a year earlier.