Loveland-based background investigation firm merges with major IT players

LOVELAND — KeyPoint Government Solutions, based in Loveland, is merging with two other companies to form a publicly traded company that will serve U.S. public-sector clients with information-technology services.

DXC Technology (NYSE: DXC) in Tysons, Va., is spinning off its U.S. Public Sector (USPS) business to merge with KeyPoint and Vencore Holding Corp., both of which are owned by affiliates of private equity firm Veritas Capital. Veritas will remain an investor in the new company.

The merger is subject to regulatory approval and is expected to be complete in March 2018.

The combined…