With October coming to a close, letâs take a look at the most significant M&A activity that took place over the course of this month.
Notable M&A activity includes:
- Serco Inc. agreeing to purchaseÂ BTP Systems
- CSRAÂ purchasingÂ PraxisÂ Engineering
- DXCÂ agreeing to merge its public-sector business withÂ VencoreÂ andÂ KeyPointÂ GovâtÂ Solutions
- ParsonsâÂ purchase ofÂ Williams Electric
- MDAÂ closing its $3.6B acquisition ofÂ DigitalGlobe
- BoeingÂ purchasingÂ Aurora Flight Sciences
- General AtomicsÂ acquiringÂ Syntronics
- ManTechÂ completing its purchase ofÂ InfoZen
On October 24th,Â Serco Inc.Â announcedÂ that its North American arm had agreed to purchaseÂ BTP SystemsÂ for an undisclosed amount. Serco is acquiring BTP Systems in a move to expand its client base and its command, control, communications, computers, combat systems, intelligence, surveillance and reconnaissance services for the federal government. Serco expects to close the acquisition by the end of 2017, subject to approvals and other customary closing conditions. Dave Dacquino, Serco Inc. chairman and CEO, said that acquisition complements the companyâs C5ISR business, which supports ship, shore and hardware integration projects through naval sustainment and modernization services.
On October 17th,Â CSRAÂ agreedÂ to purchaseÂ PraxisÂ EngineeringÂ TechnologiesÂ for approximatelyÂ $235 million in cash. CSRA acquired Praxis in order to expand its mission applications development capabilities and increase its presence in the intelligence community. CSRA will absorb at least 350 Praxis employees and will operate the company as a wholly owned subsidiary. The deal is expected to be completed by the end of December, subject to antitrust approval under theÂ Hart-Scott-Rodino ActÂ and other customary closing conditions. Larry Prior, CSRA president and CEO, said the transaction will help CSRA support clients in their mission application modernization efforts.
As mentioned in aÂ previous round up,Â DXC TechnologyÂ has agreed toÂ mergeÂ its U.S. public sector business withÂ VencoreÂ andÂ KeyPoint Government Solutions. The merge will result in a new entity valued at $4.3 billion and will be positioned as a âtop fiveâ systems integration company within the government IT services sector. Two Wash100 inductees, Mac Curtis and Marilyn Crouther, will hold leadership positions within the combined entity. Curtis, president and CEO of Vencore, will become CEO and Crouther, SVP and general manager of DXCâs public sector business, will become chief operating officer.
ParsonsÂ announced on October 10thÂ that it hadÂ purchasedÂ Williams ElectricÂ for an undisclosedÂ sum in an effort to bolster its control systems business. Chuck Harrington, Parsons chairman and CEO, said the acquisition is part of the companyâs strategy to guard its operational technologies and critical infrastructure assets against cyber threats. âParsonsâ existing contractual relationships with numerous customers within the departments of Defense, Energy and Veterans Affairsâ¦ are ideal environments for our now expanded control systems offerings,â said Carey Smith, Parsons federal group president and Wash100 inductee.
MacDonald, Dettwiler and AssociatesÂ closedÂ its $3.6 billion acquisition ofÂ DigitalGlobeÂ on October 5th, thus creating a new company that will provide integrated satellite, imagery and geospatial services to both the commercial and government markets. MDA said that the newly combined entity will be namedÂ Maxar Technologies Ltd. Howard Lance, president and CEO of MDA, said Maxar will seek to utilize the increased scale, diversified revenue base and integrated sales channels from the combination of MDA and DigitalGlobe. Lance will hold the same leadership roles at Maxar, which will use the space technology brands of MDA, Digital Globe, Space Systems Loral and Radiant before the introduction of a new corporate branding by the end of 2017.
Also on October 5thÂ wasÂ Boeingâs announcement that it had agreed toÂ purchaseÂ Aurora FlightSciencesÂ for an undisclosed sum as part of its efforts to speed up the development of autonomous technology for aerospace vehicles. Boeing said that it plans to integrate Aurora into the aerospace and defense contractorâs engineering, testing and technology segment. Greg Hyslop, chief technology officer and senior vice president of Being Engineering Test & Technology, said the combined company will build autonomous platforms for both the military and commercial markets.
On October 2nd,Â General AtomicsÂ purchasedÂ SyntronicsÂ for an undisclosed sum. Syntronicsâ knowledge and experience in the development of electromechanical technology platforms will compliment General Atomics current abilities. General Atomics announced that it will run Syntronics as part of its electromagnetic systems group. Scott Forney, president of General Atomics Electromagnetic Systems, said the company has previously worked with Syntronics to build the guidance electronics unit and related systems for the railgun hypersonic projectiles.
ManTech InternationalÂ completedÂ its $180 million cash acquisition ofÂ InfoZenÂ on October 2nd.Â ManTech said that it will be running InfoZen as part of its mission solutions and services group, which is headed by Daniel Keefe, and expects the IT services contractor to contribute approximately $25 million to fiscal 2017 revenue. Kevin Phillips, president and chief operating officer at ManTech and an inductee into the 2017 Wash100, said the company is pleased to finalize the transaction and welcome InfoZen into ManTech.