Booz Allen acquires SPARC unit
McLean-based Booz Allen Hamilton has acquired the software services unit of SPARC, a Charleston, S.C., technology firm.
Financial details about the deal were not disclosed.
The SPARC unit, which has about 270 employees, who provide software development services for the U.S. Department of Veterans Affairs and other public- and private-sector customers.
“The SPARC team is a great addition to Booz Allen, bolstering our ability to deliver the large, highly integrated systems that clients are demanding,” Horacio Rozanski, the president and CEO of Booz Allen, said in a statement. “This acquisition advances the firm’s long-term strategy, which is focused on ensuring we have the specialized talent and technical capabilities we need to drive growth across our client base.”
Booz Allen said the acquisition will expand and enhance its ability to integrate technical and mission-related requirements to deliver technologies like cloud, mobile and modular services using contemporary methodologies such as Agile, DevOps and open source.
The services group, which increased its revenue by 26 percent last year, will continue to operate from its Charleston facility, where 65 Booz Allen employees are currently co-located.
In Booz Allen’s fiscal year 2017, the transaction is expected to be accretive to earnings and add approximately $50 million of incremental annual revenue. SPARC’s products unit will continue to operate separately under different ownership.
In 2013, SPARC was ranked by Inc. 500 as the 14th fastest-growing private company in the U.S.
Booz Allen said it has continued to invest in building its systems delivery business in recent years as part of the its long-term growth strategy, called Vision 2020. The firm sees growth opportunities driven by customer demand for rapid technology innovation in areas such as cloud, big data and mobility; advanced development methodologies and a demand for faster deployments.
Booz Allen employs more than 22,200 people globally, and had revenue of $5.27 billion for the 12 months ended March 31.