California-based Accela, which sells permitting, licensing and other software to state and local agencies, says it has bought Novotx, a Utah firm that supplies public-sector clients with GIS-centric tools for asset management.
Terms were not disclosed.
Accela’s products focus on such areas as new construction, business and municipal infrastructure licenses, planning, scheduled maintenance and asset improvements. The company launched in 1999 and has more than 600 customers.
Bringing the 12-year-old Novotx into the tent will expand Accela’s tech abilities in work orders, “map-based operational insights” and infrastructure management, according to a statement.
Accela said Novotx is best known for Elements XS, a GIS platform that public works departments, utilities and others use for service requests, inspections and field operations. More than 150 agencies use the product to help manage roads, street signs, water and sewer operations, parks, fleets and civic assets.
Asset management has long stood as “the best and strongest” adjacent area for Accela, Vito Giallorenzo, the company’s chief strategy officer, told Government Technology. Enough customers use Accela’s offerings in that area that demand was clear for more.
“Building organically takes time,” he said. “This company checked a lot of boxes.”
The combined company — Accela in the coming months plans to release more details about its integration of Novotx tech — will offer agencies a sole supplier for a wide variety of needs, Giallorenzo said.
“It’s always easier for customers to have a single vendor, especially in government where procurement cycles are difficult and lengthy,” he said.
That reflects a larger trend in gov tech — acquisitions that seek to build what amounts to a one-stop shop, with private equity often financing the deals.
That trend is unlikely to stop, Giallorenzo said, especially as the industry still has space for companies that, like Tyler Technologies, can offer various tools that cover a wide range of common governmental tasks.
This acquisition serves as a reminder of the growing use of GIS in gov tech. Agencies are turning to geographic information systems for jobs that range from firefighting to permitting to plan review.
The deal also signals the “clear connection between permitting and public works,” Giallorenzo said.
In 2024, Accela — itself a beneficiary of private equity investment — bought permitting and licensing tech firm OpenCounter from Euna.
Then, in April, Accela announced its acquisition of ePermitHub, which sold streamlined document management and plan review.
Now the company aims to provide more streamlined services.
“For years, Novotx has focused on helping agencies understand and manage their assets through GIS-driven workflows. Increasingly our customers have been requesting to seamlessly connect their asset management and permitting workflows,” said Jason Horspool, CEO at Novotx, in the statement. “Joining Accela allows us to better serve our customers with a broader integrated platform that is deeply committed to public-sector innovation and long-term partnership.”
