Vectrus Inc. has acquired the Alexandria, Virginia-based engineering and logistics support company SENTEL Corp. for $36 million, building off efforts to become a leader in the converging physical and digital infrastructure market.
âI am excited to welcome the talented employees of SENTEL and believe this is an excellent acquisition for Vectrus,â said Chuck Prow, president and CEO of Vectrus. âSENTEL expands our geographic footprint, capabilities and market positioning, and will accelerate the transformation of Vectrus into a higher value, technology-enabled and differentiated platform.â
The SENTEL acquisition brings immediate access to important clients in the intelligence community, and expands Vectrusâ relationship with the U.S. Army, a key client, Prow added.
The purchase price of $36 million was funded by cash on hand and Vectrusâ credit facility, and is expected to boost Vectrusâ 2018 GAAP diluted earnings per share, the company said.
SENTEL has over 600 employees, and generated $107 million in revenue in fiscal year 2017. Its customers include the U.S. Army, the intelligence community, the U.S. Navy, the U.S. Air Force, the Federal Aviation Administration and the Internal Revenue Service. SENTEL has successfully managed major government facilities, supply chains, and assets worth in excess of $5 billion, and has worked on critical spectrum management systems, sensor networks, border surveillance systems, perimeter surveillance systems and various other detection systems, Vectrus said.
Prow, who joined Vectrus in December 2016, was one of WashingtonExecâs 25 Leaders in Government Contracting You Should Know About for 2017.