SENTEL (No. 90 on the 2008 BE Industrial/Service list with $45 million in revenues) acquired 24/7 Solutions last week in stock transaction for which terms weren’t disclosed. Based in McLean, Virginia, 24/7 Solutions is a supplier of specialized services and solutions to the U.S. intelligence community.
The company’s services include counter-terrorism/operations support, intelligence analysis, technical operations support, information technology and management-technical support. “We see this as complimentary because we have some engineering products and services that we currently provided to the [Department of Defense] space whether it’s sensor integration work or radio frequency work that has chemical, biological or nuclear detection applications,â€ says Darrell L. Crapps, CEO of SENTEL. “We’re able to leverage our products and services capabilities that SENTEL has to the space that 24/7 is operating in to provide more of a full-scale suite of service capabilities to those customers.â€
According to SENTEL, 24/7 Solutions generated revenues of $10 million in 2008 and SENTEL projects the acquisition to add $10.5-$11 million to its 2009 revenues. “We see this as an opportunity to play in spaces that typically companies like us and our size and our demographics don’t necessarily typically play in. So it broadens our footprint into some areas that we feel that we can leverage and grow,â€ says Crapps. SENTEL is an engineering and technology services company that provides the federal government, military and commercial enterprises.
Crapps says SENTEL has benefited from being in a somewhat insulated industry and has been spared from the worst of the recession. “A lot of the programs that we support are not the programs that have come under a great deal of scrutiny because they’re not the big programs that have failed, come in over budget and have not met the objectives for they were originally started,â€ claims Crapps. “We continue to position ourselves to programs that in support of initiatives that protect our borders and our airspace and those things cannot be compromised. We’ve been somewhat fortunate to not suffer the consequences that many in our nation has.â€
SENTEL is looking at other possible acquisition candidates in the intelligence, logistics and engineering areas. “With those three areas, I think we’ll be able to compete in a larger marketplace,â€ says Crapps.