Booz Allen Hamilton has acquired the health care division of Genova Technologies, an Iowa-based government contractor, for an undisclosed sum. The health care group, made up of about 40 employees, is based in Baltimore.
The office has already been integrated into Booz Allen, said Susan Penfield, executive vice president of Booz’s health business.
The purchase is part of Booz Allen’s move to supplement its health care work for the Centers for Medicare and Medicaid Services, Penfield said. Booz Allen was one of 15 contractors selected by the center in July to work on a $7 billion contract to design, implement and evaluate changes to the center’s health care delivery model.
Genova’s team was chosen because the division already provides health information tech services to the center and has a “deep understanding” of its information systems and business practices, Booz Allen said in a statement.
“They have a great track record with the work they’ve done around the Affordable Care Act,” Penfield said. “Not only do they bring great technical capability but also knowledge of the client’s mission and data.”
Federal health IT is seen as a lucrative growth area by many government contractors as agencies seek to overhaul their legacy health information systems. The purchase is part of Booz Allen’s broader strategy to target those growth areas and beef up its technical and engineering capabilities, Penfield said. The company had been on the lookout for a suitable acquisition in this space for some time, she said.
Genova Technologies is a woman-owned small business based in Cedar Rapids that serves aerospace, defense, health and commercial-sector clients. In addition to the Baltimore office, Genova has a Bethesda location.
The company is keeping its defense and commercial businesses.
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