Science Applications International Corp. of San Diego has acquired Newport, R.I.-based Aquidneck Management Associates Ltd., which provides professional services to federal and state agencies. Terms of the deal were not disclosed.
CACI International Inc. plans to acquire IT consulting firm CMS Information Services Inc., the company said. Terms of the deal were not disclosed. The companies expect to close the deal this quarter.
DigitalNet Inc. is planning to acquire User Technology Associates Inc. in a $50 million deal that expands DigitalNet's presence in homeland security and law enforcement agencies.
Verity Inc. is buying Cardiff Software Inc. in a $50 million deal that brings Verity added capabilities in software for document capture, electronic forms and workflow-driven business processes.
Jefferson Consulting Group LLC, a government relations and consulting firm, is acquiring Privacy Council, provider of privacy and data protection technology and services.
Since the Sept. 11 terrorist attacks and the country's subsequent emphasis on fighting terrorism and enhancing homeland security, the once sleepy government IT sector has become the darling of Wall Street. In the last two years alone, seven government contracting companies completed initial public offerings raising more than $1.051 billion in equity capital. Significantly, most of these IPO's traded above their initial offering price on the first day of trading, and most are still trading above the initial offering price.
It's no secret that mergers and acquisitions are on the rise. In the government IT market, the number of M&As rose from 47 in 2001 to 64 in 2002 to 73 in 2003. And the aggregate value of those deals jumped from $3.8 billion in 2002 to $5.9 billion last year. Along with the rise in the number of deals, a new generation of M&A players has emerged, such as <b>Todd Stottlemyer</b> of ITS Services, left, <b>Michael Solley</b> of NCI Information Systems and <b>Greg Bedner</b> of Perot Systems. Washington Technology looks at some of these new players and the strategies that are driving their deals.
ITS Services Inc. is planning to acquire Science & Engineering Associates Inc. in a deal that will create a company with about $200 million in annual revenue.
Wireless Facilities Inc. has bought High Technology Solutions Inc., a company offering communications systems engineering and operational outsourcing services to federal agencies.
McNeil Technologies Inc. of Springfield, Va., has acquired Research and Evaluation Associates Inc., a Chapel Hill, N.C.-based company that offers services to state and federal agencies.
