Government contracting sector observers got a twin bill of significant acquisition developments during the Thursday evening-Friday morning “down time” in financial markets to continue the GovCon industry’s ongoing deal spree.
Prior to this morning’s opening bell, the former Halliburton subsidiary KBR announced its second U.S. government-focused purchase this year through a $300 million agreement to buy Honeywell Technology Solutions Inc. — the global industrial conglomerate’s federal services business.
This HTSI deal and pick up of Wyle in July for $550 million adds up to an almost $850 million bet by KBR on federal government services in a push to expand and diversify beyond the core engineering and construction work for energy market clients.
After Thursday’s close, Hewlett Packard Enterprise said it would acquire the high-performance computing technology company Silicon Graphics International for $275 million as HPE begins to embark on its new product- and platform-focused strategy.
SGI’s client base includes federal agencies with services in the fields of virtualization, data management, cloud computing and storage.
GovCon Wire — Executive Mosaic’s home of market-moving GovCon news — has all the details on KBR’s continued government services push and HPE’s move that includes a public sector angle.
Please click this link here for GovCon Wire’s full report on the KBR deal to buy HTSI, while the GCW story on the HPE-SGI transaction is available here.
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