Booz Allen Hamilton has bought the software services unit of SPARC LLC, the Charleston technology firm, the consulting company said Monday.
Booz Allen acquired the unit, its assets and about 270 staff members who develop software for the Department of Veterans Affairs and other public and private sector clients, according to the company’s announcement. It did not disclose a price.
The unit will keep operating from SPARC’s Charleston facility, where 65 Booz Allen employees already work alongside SPARC’s staff, the company said. SPARC’s products unit is not part of the deal and will continue to operate separately under different ownership.
The services group grew its revenue by 26% in 2014, Booz Allen said. Booz Allen, based in McLean, Virginia, expects the deal to add about $50 million in annual revenue and to add to earnings in its 2017 fiscal year.
Booz Allen said SPARC’s team is known for its expertise in Agile and DevOps software methods. The purchase strengthens Booz Allen’s ability to deliver technologies such as cloud, mobile and modular services, the firm said.
“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, Booz Allen’s president and chief executive officer.
“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.
Inc. magazine ranked SPARC the 14th fastest-growing private company in the country on its 2013 Inc. 500 list, and the company has been named one of South Carolina’s Best Places to Work four times, according to Booz Allen.
The deal is part of Booz Allen’s growth strategy, which it calls Vision 2020. Gary Labovich, executive vice president for Booz Allen’s systems delivery business, called the acquisition “an excellent fit for both companies.”
