Booz Allen Hamilton acquires software services business of SPARC, LLC
Booz Allen Hamilton, based in McLean, VA, announced on November 2 that it has acquired the software services unit of the Charleston, SC technology firm SPARC, a move that further strengthens and complements the firm’s growing capabilities in Agile software development, a key component in its approach to solving complex technology and mission-critical systems challenges.
Booz Allen has acquired the unit, its assets, and about 270 staff who currently provide software development services for the U.S. Department of Veterans Affairs and additional public and private sector clients. This acquisition will expand and enhance the firm’s 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 grew its revenue by 26 percent in 2014, will 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.
“The SPARC team is a great addition to Booz Allen, bolstering our ability to deliver the large, highly integrated systems that clients are demanding,” said Horacio Rozanski, President and Chief Executive Officer of Booz Allen. “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.”
“The SPARC team is known for its deep expertise in modern Agile and DevOps methods, as well as its creativity in delivering solutions integrating cloud computing, UI/UX design, mobile technologies, cyber security, and production operations,” said Gary Labovich, Executive Vice President for Booz Allen’s systems delivery business. “We see this acquisition as an excellent fit for both companies.”
”The opportunity to join a firm like Booz Allen that so strongly values our expertise, shares our focus on culture, and offers the chance to expand into new areas of client work is an exciting development for the SPARC team, and we look forward to accomplishing great things together,” said SPARC Chief Executive Officer Marc Murphy.
In 2013, SPARC was ranked by Inc. 500 as the 14th fastest-growing private company in the U.S., and it has been named a South Carolina Best Places to Work winner four times.
Booz Allen has continued to invest in building its systems delivery business in recent years as part of the firm’s long-term growth strategy, called Vision 2020. The firm sees growth opportunities driven by client demand for rapid technology innovation in areas such as cloud, big data and mobility; advanced development methodologies and a demand for faster deployments.
“The addition of SPARC expands our portfolio of technical skillsets which are essential for mission-critical systems delivery, furthering our ability to offer our clients cutting-edge solutions and take advantage of growth opportunities in the market for large highly-integrated IT projects,” said Labovich.
Source: Booz Allen Hamilton