CENTREVILLE, Va., March 14, 2023 (GLOBE NEWSWIRE) -- Parsons Corporation (NYSE: PSN) announced today that it has entered into a definitive agreement to acquire IPKeys Power Partners, Inc. Founded in 2014, IPKeys Power Partners enhances Parsons’ critical infrastructure protection capabilities through comprehensive cloud-based cybersecurity, software solutions that operate at the intersection of information and operational technology (IT and OT), and technologies that will help accelerate the global clean energy transition.
The acquisition brings IPKeys’ established customer base, expanding Parsons’ presence in two rapidly growing end markets: grid modernization and cyber resiliency for critical infrastructure. Headquartered in Tinton Falls, New Jersey, IPKeys Power Partners is a trusted provider of enterprise software platform solutions that is actively delivering cyber and operational security to hundreds of electric, water, and gas utilities across North America.
“The addition of IPKeys brings important software platforms and capabilities that strengthen our integrated solutions that protect critical infrastructure,” said Carey Smith, Parsons’ chair, president, and chief executive officer. “A natural extension of our growth strategy, this acquisition reinforces our position in the critical infrastructure protection market, enhances our customer base, spans both of our business segments, and extends our capabilities into adjacent markets. I look forward to welcoming the IPKeys team to the Parsons family as we continue delivering critical resiliency solutions that protect society in the face of increasing and evolving threats.”
Directly aligned with the Infrastructure Investment and Jobs Act (IIJA), the grid modernization and cyber resiliency markets are poised for continued expansion, particularly as the digitalization of infrastructure accelerates and has resulted in increased cyber risk along with safety and efficiency improvements.
“We empower utilities and operators to better adapt to today’s evolving grid. As digitalization and electrification advance, we move closer to reaching our nation’s climate goals of net zero by 2050, but these innovations present energy supply, cybersecurity, and technological risks of their own,” said Robert Nawy, chief executive officer of IPKeys Power Partners. “We are excited to join our tools, technology, and experience with Parsons’ proven, industry-leading critical infrastructure protection solutions, further proliferating the resiliency of the power grid and other infrastructure – a core mission of both companies.”
The transaction is valued at $43 million and is consistent with Parsons’ strategy of completing accretive acquisitions of companies with revenue growth and adjusted EBITDA margins of 10 percent or greater, while adding critical intellectual property that strengthens the company’s existing portfolio. IPKeys Power Partners will be primarily integrated into Parsons’ Connected Communities business unit and, specifically, the Parsons X digital accelerator organization.
Parsons has decades of experience in delivering infrastructure around the world that helps improve the management, sustainability, efficiency, safety, and quality of life in the communities we serve.
To learn more about Parsons’ digital capabilities, visit www.parsons.com/x.
The trademark IPKEYS is owned by IPKeys Technologies, LLC and use by IPKeys Power Partners, Inc. is pursuant to a license from IPKeys Technologies, LLC.
About Parsons
Parsons (NYSE: PSN) is a leading disruptive technology provider in the national security and global infrastructure markets, with capabilities across cyber and intelligence, space and missile defense, transportation, environmental remediation, urban development, and critical infrastructure protection. Please visit Parsons.com and follow us on LinkedIn and Facebook to learn how we're making an impact.
Forward-Looking Statements
This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on our current expectations, beliefs and assumptions, and are not guarantees of future performance. Forward-looking statements are inherently subject to uncertainties, risks, changes in circumstances, trends and factors that are difficult to predict, many of which are outside of our control. Accordingly, actual performance, results and events may vary materially from those indicated in the forward-looking statements, and you should not rely on the forward-looking statements as predictions of future performance, results or events. Numerous factors could cause actual future performance, results and events to differ materially from those indicated in the forward-looking statements, including, among others: any issue that compromises our relationships with the U.S. federal government or its agencies or other state, local or foreign governments or agencies; any issues that damage our professional reputation; changes in governmental priorities that shift expenditures away from agencies or programs that we support; our dependence on long-term government contracts, which are subject to the government’s budgetary approval process; the size of our addressable markets and the amount of government spending on private contractors; failure by us or our employees to obtain and maintain necessary security clearances or certifications; failure to comply with numerous laws and regulations; changes in government procurement, contract or other practices or the adoption by governments of new laws, rules, regulations and programs in a manner adverse to us; the termination or nonrenewal of our government contracts, particularly our contracts with the U.S. federal government; our ability to compete effectively in the competitive bidding process and delays, contract terminations or cancellations caused by competitors’ protests of major contract awards received by us; our ability to generate revenue under certain of our contracts; any inability to attract, train or retain employees with the requisite skills, experience and security clearances; the loss of members of senior management or failure to develop new leaders; misconduct or other improper activities from our employees or subcontractors; our ability to realize the full value of our backlog and the timing of our receipt of revenue under contracts included in backlog; changes in the mix of our contracts and our ability to accurately estimate or otherwise recover expenses, time and resources for our contracts; changes in estimates used in recognizing revenue; internal system or service failures and security breaches; and inherent uncertainties and potential adverse developments in legal proceedings, including litigation, audits, reviews and investigations, which may result in materially adverse judgments, settlements or other unfavorable outcomes. These factors are not exhaustive and additional factors could adversely affect our business and financial performance. For a discussion of additional factors that could materially adversely affect our business and financial performance, see the factors included under the caption “Risk Factors” in our Registration Statement on Form S-1 and our other filings with the Securities and Exchange Commission. All forward-looking statements are based on currently available information and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statement made in this presentation that becomes untrue because of subsequent events, new information or otherwise, except to the extent we are required to do so in connection with our ongoing requirements under federal securities laws.
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