Science Applications International Corp. (SAIC) has signed a definitive agreement to sell its logistics and supply chain management business to ASRC Federal Holding Company, LLC (“ASRC Federal”), a subsidiary of Arctic Slope Regional Corporation, for $350 million in cash. The transaction is expected to close in the first half of SAIC’s fiscal year 2024, subject to the satisfaction of customary closing conditions, including the receipt of required regulatory approvals.
“Today’s announcement represents a milestone in SAIC’s priority to shape our portfolio and advance our strategy,” said Nazzic Keene, Chief Executive Officer at SAIC. “The agreement allows for seamless transition and continued support for the logistics and supply chain management business and their important customer missions, while enabling SAIC to concentrate resources in our Growth & Technology Accelerant areas of focus. These areas include Secure Cloud, Enterprise IT and Systems Integration & Delivery which now account for more than 30% of SAIC revenue.”
SAIC’s logistics and supply chain solutions are used by the Defense Logistics Agency to manage multiple supply chains for the agency’s customers. Approximately 240 employees will transition to ASRC Federal upon close of the sale.
Jefferies LLC served as the exclusive financial advisor and King & Spalding LLC served as legal counsel to SAIC. Gibson, Dunn & Crutcher LLP served as legal counsel to ASRC Federal.
SAIC and ASRC Federal are mentor partners of the Government Technology & Services Coalition, a non-profit organization for government contractors in the homeland security market.