Leidos has finalized its $2.4 billion acquisition of ENTRUST Solutions Group, expanding its energy infrastructure business as utilities face rising demand, grid modernization requirements and resilience challenges.
The company said Monday the transaction doubles its presence in the energy infrastructure market and strengthens its position as a provider of engineering and design services supporting power and gas systems nationwide.
What Does the ENTRUST Acquisition Add?
The deal brings more than 3,100 ENTRUST employees into Leidos, along with capabilities in electric grid engineering, natural gas infrastructure, consulting and automation services.
ENTRUST’s portfolio spans over 40 locations across North America and includes work in asset integrity, data platforms and power delivery systems, broadening Leidos’ reach across utility customers and infrastructure projects.
Leidos said the combination enhances its ability to deliver end-to-end capabilities across the energy value chain.
Why Is Leidos Expanding in Energy Infrastructure?
The acquisition aligns with Leidos’ NorthStar 2030 strategy, which identifies energy infrastructure as a core growth pillar.
“As utilities address accelerating load growth and resilience requirements, integrating ENTRUST’s capabilities enables us to deliver comprehensive infrastructure solutions that help strengthen and secure the grid,” said Roy Stevens, homeland sector president at Leidos.
Leidos announced the acquisition in January as part of a broader push to scale its $600 million energy infrastructure engineering business.
Leidos expects the transaction to be immediately accretive to its revenue growth and adjusted earnings before interest, taxes, depreciation and amortization, or EBITDA, margin and accretive to non-GAAP diluted earnings per share in 2027.
