Parsons Corp. has entered into a definitive agreement to acquire Xator Corp. in a transaction valued at $400 million.
Founded in 2005, Xator expands Parsons’ customer base and brings differentiated technical capabilities in critical infrastructure protection, counterunmanned aircraft systems, intelligence and cyber solutions, biometrics and global threat assessment and operations.
“The addition of Xator is a natural extension of our growth strategy, adding important solutions and technologies that advance global security and protect critical infrastructure during a time of increasing and evolving threats,” said Carey Smith, Parsons chair, president and CEO.
The acquisition also expands Parsons’ presence within the Special Operations Command, the intelligence community, federal civilian customers and global critical infrastructure markets, while providing new customer access at the State Department.
“This acquisition strengthens our position across our two complementary markets and continues our strategy of buying accretive, mission-focused companies aligned with global macroeconomic trends,” Smith said. “I look forward to welcoming Xator’s talented team of more than 900 employees to the Parsons family as we collectively create the future.”
The transaction is consistent with Parsons’ strategy of completing accretive acquisitions of companies with revenue growth and adjusted EBITDA margins of 10% or greater, while adding critical intellectual property that strengthens the company’s existing portfolio.
“Xator was built on a commitment to the customer’s mission and support for the professional development of our employees,” said David Scott, Xator CEO. “Today we are excited to announce the combination with Parsons — a company that shares our passion for supporting our customers’ mission and is recognized consistently as a top employer.”
Anthony Iasso, chief technology officer at Xator Corp., was a recent winner at WashingtonExec’s 2022 Chief Officer Awards under the category for Public & Private Company.