Serco Group™s North American subsidiary has agreed to acquire the naval systems business unit of Alion Science and Technology for $225M in a push to expand its footprint in the naval modernization, sustainment and support services market.
Serco Inc. said Thursday it expects the transaction to be finalized in the second half of this year, subject to regulatory approvals.
œCombining our existing C5ISR capabilities in ship, shore, satellite and radar modernization with the naval design and engineering capabilities of NSBU will make Serco a top-tier Navy services provider with a full-spectrum, design-integrate-support life cycle maritime offering, said Dave Dacquino, chairman and CEO of Serco Inc.
Dacquino called the deal a œgrowth-oriented strategic acquisition that would offer new opportunities and bring technical talent to Serco.
Alion™s NSBU provides naval ship and submarine design, in-service sustainment, production support and systems and engineering services and works on unmanned surface vehicles and unmanned underwater vehicles.
The business supports Naval Sea Systems Command, Office of Naval Research, U.S. Coast Guard and international naval forces and has $336M in annual revenues and approximately 1K employees at naval facilities in the U.S., Canada and other overseas locations.
œThe U.S. Navy and defense markets were extremely attractive to invest in for Serco, Craig Reed, senior vice president and chief growth officer of Serco Inc., told ExecutiveBiz. œOur partnership is a great culture fit and opens up the potential for future career opportunities and chances to continue expanding our business in these markets.
Serco will operate NSBU as a new business unit to be led by Vince Stammetti, SVP of Alion™s NSBU.
