British defense technology contractor Qinetiq has agreed to sell most of its North American business to the SI Organization, a Chantilly-based tech company that does engineering work for the Defense Department and other federal customers, SI announced last week. SI said it would pay about $215 million in cash.
SI will acquire Qinetiq North America’s services and solutions group, which is based in Reston and employs about 2,800 engineers, scientists and other professionals.
“This transaction creates an opportunity to greatly scale our presence in market adjacencies such as DoD, DHS, NASA and federal civilian agencies,” Mac Curtis, SI’s chief executive, said in a statement.
The deal excludes the Qinetiq’s cybersecurity division, called Cyveillance, a Reston-based company that Qinetiq acquired in 2009.
Verizon Communications’ subsidiary Federal Network Systems, headquartered in Ashburn, is to be acquired by Pasadena, Calif.-based technology firm Jacobs Engineering Group.
Terms of the deal, expected to close in the summer of 2014, were not disclosed.
With about 750 employees, FNS provides communication, IT and data security services to the Defense Department and civilian agencies.
“We expect our acquisition of FNS to significantly enhance our capability in the growing Intelligence Community industry; allowing us to augment our service offerings to government clients for whom we currently provide mission critical operations, facility design, commissioning and technical services,” Jacobs Vice President Robert Norfleet said in a statement.
Parsons, a Pasadena, Calif.-based engineering, construction and technical services company has agreed to acquire Reston-based cybersecurity defense contractor Secure Mission Solutions.
Terms of the deal were not disclosed.
Secure Mission Solutions’ more than 550 global employees will become part of Parsons’ government services business unit, according to Parsons.
IBM is expanding investments in its federal health care division, the company announced last week. The tech giant is offering new technology services to federal clients, including some based on Watson, the IBM project made famous by its success on the game show “Jeopardy.”
New offerings include Watson software that helps researchers mine large volumes of medical literature or that process patients’ electronic medical records to provide summaries for caregivers.
Bethesda-based defense contractor Lockheed Martin plans to leave its office in Alexandria by the end of September, according to the company.
About 150 employees will be relocated to other offices in the Washington area; Lockheed will not renew its lease for the Alexandria building.
In an conference call with analysts on its earnings, Executive Vice President and Chief Operating Officer Bruce Tanner said the company is not expecting many more major reductions.
The company “sort of eliminated some lease space, configurated some of our own space, [and are] spreading those fixed costs over a bigger space,” he said.