Parsons Buys Cybersecurity Company SealingTech; Carey Smith Quoted

Parsons (NYSE: PSN) has purchased Sealing Technologies for approximately $200 million in a transaction that expands its defensive cyber capabilities, broadens its client base across the Department of Defense and Intelligence Community and strengthens its presence as a cybersecurity company in the national security market.

Established in 2012, SealingTech is a Columbia, Maryland-based provider of cybersecurity platforms for critical infrastructure network protection, defensive cyber operations and secure data management, Parsons said Wednesday.

Carey Smith, chairwoman, president and CEO of Parsons, said the transaction is a natural extension of the company’s growth strategy and adds mission-ready systems for DOD and IC customers.

“SealingTech’s defensive cyber capabilities complement our leading offensive cyber capabilities and increase our share in the full-spectrum cyber operations market, which is expected to receive more government funding because of accelerating and evolving cyber threats,” added Smith, a five-time Wash100 awardee.

Centreville, Virginia-based Parsons expects the acquisition to further expand its capabilities in edge computing and edge access modernization and integration mission platforms backed by machine learning and artificial intelligence and plans to integrate SealingTech’s nearly 150 employees into its defense and intelligence business unit.

SealingTech is expected to record $110 million in 2024 revenue. Parsons anticipates the transaction to be accretive to its revenue growth rate, adjusted earnings per share and adjusted EBITDA margin for fiscal year 2024.

Chesapeake Corporate Advisors and Nemphos Braue acted as advisers to SealingTech. Barclays and Jenner & Block respectively served as financial and legal advisers to Parsons.

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