Leidos has entered into a definitive agreement to acquire Gibbs & Cox, the largest, full-service independent engineering and design firm specializing in naval architecture and marine engineering, for US$380 million in cash.
Headquartered in Arlington, Virginia, Gibbs & Cox has 525 employees.
The deal extends Leidos into an attractive maritime market where the company believes it is under-penetrated.
“The acquisition of Gibbs & Cox will extend our existing maritime business and add specific capabilities and services, such as naval architecture and marine engineering, 3D modeling and design,” Leidos CEO Roger Krone said in an earnings call. “We’re very excited about how Gibbs & Cox brings their capability around the design of the ship and the ship systems. And we bring, if you will, the mission equipment. And we’re really excited about how that will fuel growth for our maritime business going forward.”
"It further positions Leidos for long-term growth in the maritime unmanned market – a market requiring tight integration of ship design and autonomy systems," the company said in a statement.
The transaction is expected to close in the second quarter of FY 2021, subject to satisfaction of customary closing conditions.