Home / M&A Activity / STG Targets June 30 Closing Date for Preferred Systems Solutions Deal

STG Targets June 30 Closing Date for Preferred Systems Solutions Deal

Government information technology services contractor STG Group has pushed back its plan to finalize purchase of Preferred Systems Solutions from the first quarter of 2017 to the end of June.

Reston, Virginia-based STG said Tuesday it raised the acquisition price of PSS to $119.8 million and offered to pay $925,000 in advance as a result of the delay.

STG announced in February that it agreed to buy the McLean, Virginia-based software engineering and computing firm for $119 million in a move to expand in intelligence community and national security markets.

The transaction comes as STG faces financial challenges based on its filings with the Securities and Exchange Commission, such as failure to meet requirements for senior secured leverage ratio and earnings before interest, taxes, depreciation and amortization, the report added.

Check Also

Northrop Completes JPSS-2 Microwave Instrument Assembly; Bob Mehltretter Quoted

Northrop Grumman (NYSE: NOC) has assembled a microwave instrument for the second Joint Polar Satellite System being built to support weather forecasting and climate monitoring efforts at the National Oceanic and Atmospheric Administration. The company began testing JPSS-2's Advanced Technology Microwave Sounder to determine whether the technology can withstand environmental conditions during liftoff and in space, NASA said Thursday.

Former Kforce, SES Exec Patrick Sullivan Joins Aptive as Digital Services VP

Patrick Sullivan, formerly vice president of emerging technologies at SES, has joined consulting services provider Aptive Resources as VP of digital services, FedHealthIT reported Thursday.