Serco Inc., a provider of professional, technology, and management services, announced last Tuesday their intent to acquire BTP Systems LLC. The acquisition, subject to approval, is expected to come together by the end of 2017.
In an exclusive interview with ExecutiveBiz Dave Dacquino, Serco’s President and CEO, said that he expects that the companies’ combined effort will accelerate and expand their portfolio through an increased engineering, logistics, obsolescence engineering footprint.
This acquisition will expand Serco’s Command, Control, Communications, Computers, Combat Systems, Intelligence, Surveillance and Reconnaissance (C5ISR) service offerings within the Federal government.
Dacquino went on to say that through the acquisition, Serco will continue to expand their product reach and service mix, bringing on more market opportunities, capabilities and solutions from the antenna dish to the control room.
The ever-present demand for the sustainment, overhaul, and inclusive testing services is heating up, as many of the SATCOM and radar systems from ship to shore require significant upkeep and maintenance. BTP is a large supporter of SATCOM integrators with specialized RF engineering, small lot production, and RF testing services.
“Other companies are going to watch and see our commitment to making this a textbook example of how to do an acquisition–it is going to get their attention and they will take notice.”
BTP is known in the industry as a provider of satellite communications (SATCOM), radar modernization, operations and maintenance, and sustainment services that allow customers to extend the longevity of existent systems and find applications and upgrades with new technology to enhance operational capability. Identical to Serco, the company specializes in areas including obsolescence engineering, systems engineering services, test equipment and design, and field engineering services. The company’s expertise has a large breadth across shipboard and submarine SATCOM antenna systems, MILSTAR command post antennas, and radar antennas.
“BTP Systems is an excellent addition to our rapidly growing C5ISR business supporting naval modernization and sustainment for ship, shore, and hardware integration projects,” Dacquino said. “This acquisition will provide Serco with capabilities in the engineering, overhaul, repair, and sustainment of SATCOM and radar systems that expand our scope of solutions for existing customers and brings Serco to new customers such as Hill Air Force Base, the Naval Undersea Warfare Center, and Naval Air Systems Command.”
On the acquisition, BTP Systems President and Founder Bud Beaudry stated in the press release that:
“Becoming a part of Serco will generate many immediate and long-term benefits to our customers and employees. Our employees’ dedication to our customers has resulted in tremendous success throughout BTP’s 14-year history,” said Beaudry. “By joining with Serco, we will provide our clients even greater services, and will offer our employees additional opportunities for professional growth. This is a great achievement for all involved as we join a company that has the scope, scale, and track record required for success, and a stellar reputation in the defense sector.”
When working through an acquisition, Dacquino said, “one way to do it is to do a volume buy–to increase your scope, scale and outreach, to gain marketshare immediately–that is not what we’re doing here,” he said. “This is a specific capability buy to enhance our portfolio today. That is a better approach for my shareholders, my company, and for opportunities for our own employees–and truthfully, will give us an opportunity to grow together.”
Down the road, the Dacqcuino-Beaudry/Serco-BTP double-threat sees a business built on exemplary dedication, strategy and innovation. As a CEO, Dacquino specializes in people, dedicating himself to making sure that the employees from BTP (and Serco) understand that their culture is “not going to change, but get enhanced.”
“Other companies are going to watch and see our commitment to making this a textbook example of how to do an acquisition–it is going to get their attention and they will take notice,” Dacquino added.
Dacquino said in closing that acquiring BTP is the first of several acquisitions to come, and he has “a couple more ideas up his sleeve” slated for 2018.
“We have a pretty unique perspective of how you can acquire a company and kill it. We are going to show others how it is done, and how it is done right.”