Booz Allen Hamilton [BAH] on Tuesday said it has completed its acquisition the Aquilent, which provides digital, agile, DevOps and cloud solutions to the federal government.
Booz Allen said the deal is expected to add about $20 million in sales through the remainder of its fiscal year 2017, which ends on March 31. The expected revenue contribution is $10 million to $15 million less than when Booz Allen announced its intent to acquire Aquilent last November because at that time the company expected to close the deal during its third quarter, which ended on Dec. 31, 2016.
Booz Allen expects the acquisition to be accretive to earnings and operating margin in its fiscal year 2018.
The company said that Maryland-based Aquilent will be the hub of its Digital Solutions business. Aquilent provides digital and cloud services for the Department of Health and Human Services, Postal Service, General Services Administration, and other federal customers. Booz Allen also said the deal expands its consulting heritage with technical expertise to help clients with cloud, mobile and modular technology services using advanced methodologies such as Agile, DevOps and open source.
Closing of the deal was delayed into the fourth quarter of Booz Allen’s fiscal year 2017 due to Aquilent having to divest its Navy SeaPort-e Portal contract to a third party to resolve potential conflict of interest concerns. The divestiture to Octo Consulting Group included all data, code rights, associated assets, and about 30 staff related to the contract.
In November Booz Allen Chief Horacio Rozanski said the acquisition advances the company’s long-term growth strategy by blending technical capabilities with the legacy consulting know-how.