Booz Allen Hamilton has acquired US-based information technology services company Aquilent for $250 million. The deal adds considerable additional capacity to its technology and consultancy capabilities, particularly for US Government contracts, as well as sees the firm establish a Digital business hub at Aquilent's former headquarters.
Aquilent is an Information Technology and Services company that provides Digital Services, DevOps, Agile and Cloud Services exclusively to the US Federal Government. The company, which was founded in 1979, is headquartered in Laurel, Maryland. Today the company employs around 350 professionals, that provide a range of services to US Departments and other Federal arms.
For Booz Allen Hamilton, the rationale for the acquisition is multifaceted. The company itself is fast growing – revenues have grown at a 28% compounded annual growth rate over the last five years – and the addition will add between $30 million to $35 million of revenue to the firm’s balance sheet for 2017.
"This acquisition further advances our long-term growth strategy and drives sustainable quality growth", says Horacio Rozanski, President and Chief Executive Officer of Booz Allen.
The deal also generates a number of synergies with Booz Allen’s consulting and technology heritage, offering additional capacity in several in-demand segments, such as Agile, DevOps and open source.
Besides adding to the firm’s talent base and technology capabilities, the $250 million deal further bolsters Booz Allen’s capacity to deliver citizen-focused digital services. As part of the integration, the former Aquilent site in Laurel will become Booz Allen’s Digital business hub. “This exciting addition will bolster our capacity to provide digital transformation to clients", remarks Rozanski.
Aquilent Chief Executive Officer David Fout says, “Joining a firm like Booz Allen, which aligns so closely with our expertise, offers the chance to expand into new areas of digital work, expands capabilities for our clients through the breadth of their relationships, and is a great opportunity for the people of Aquilent. We look forward to working together to support existing and future clients.”