CACI acquires Systems Engineering and Acquisition Support Services Business Unit from GDIT

CACI International Inc of Arlington, VA announced August 16 that it has completed its acquisition of the Systems Engineering and Acquisition Support Services Business Unit (SE&A BU) of CSRA LLC, a managed affiliate of General Dynamics Information Technology, Inc. This is a highly specialized provider of comprehensive engineering services to the U.S. Navy. The acquisition unites two businesses with long-term customer relationships, complementary capabilities, and premier technical credentials, expanding CACI’s legacy work for the U.S. Navy. The company is raising the FY19 guidance issued on August 15, 2018 as a result of the acquisition.

With a purchase price of $84 million, the transaction is expected to add approximately $150 million to CACI’s Fiscal Year 2019 (FY19) revenue, with EBITDA margins in line with CACI’s existing business. And it is expected to be GAAP accretive to CACI’s FY19 earnings per share.

Through this acquisition, CACI gains a multi-decade legacy of support for the lifecycles of virtually every major U.S. naval shipbuilding platform. This includes program support, integrated lifecycle planning and support, systems engineering and integration, system design and development support, and test and evaluation services. The acquisition brings a strong pipeline of business with customers that include the Naval Sea Systems Command and other Navy commands and offices, and grows CACI’s business in its Surveillance and Reconnaissance and Logistics and Material Readiness markets. Their workforce includes approximately 960 highly credentialed professionals, more than 89 percent of whom possess security clearances.

Dr. J.P. (Jack) London, CACI executive chairman and chairman of the board, said, “This acquisition reinforces our commitment to sustain and enhance CACI’s decades of quality service to the U.S. Navy. Their dedicated and highly skilled professionals are a solid fit with our culture of ethics, integrity, innovation, and ingenuity. CACI’s mergers and acquisitions strategy continues to deliver long-term value to our customers and shareholders.”

Said Ken Asbury, CACI president and chief executive officer, “The acquisition of the Systems Engineering and Acquisition Support Services Business Unit will support CACI’s growth and amplify our position as a leading solutions and services provider to the U.S. Navy. This team brings us an exceptional track record of winning major Navy programs of record, unrivaled subject matter expertise, and deep customer relationships, which gives us a significant competitive edge in pursuing large-scale, enduring opportunities across the Navy. We welcome these highly skilled and talented employees to CACI.”

Source: CACI