Federal Data woos NYMA
- By John Moore
- Mar 09, 1997
In a bid to boost its presence in the professional-services arena Federal Data Corp. is negotiating to acquire NYMA Inc. a former 8(a) company based in Greenbelt Md.
A source close to Federal Data a Bethesda Md. integrator said the company's discussions with NYMA are "moving along " and an agreement could be reached by the end of this month. Officials at Federal Data and NYMA could not be reached for comment.
Federal Data had federal information technology service and product revenue of about $150 million in 1995 according to a company report. Revenue for NYMA a private company is thought to be around $100 million.
A purchase of NYMA would bring Federal Data an array of professional services to add to its core business of systems integration. No changes in management staff are anticipated a source said. NYMA bills itself as a "full-service engineering" company with skills in information systems communications and artificial intelligence among other fields.
These skills are just what Federal Data needs in a market in which grand-design integration deals are dwindling said an industry executive who requested anonymity. "In order to survive they need a broader capability than just systems integration " the source said.
In the past Federal Data has emphasized product-based integration with contracts such as the Navy's Stock Point Logistics Integrated Computing Environment according to Robert Guerra president of Guerra & Associates and a former Federal Data employee. He added however that the company has been pushing further into the services market in recent years and that a NYMA purchase "completes the cycle. [NYMA is] an excellent complement to what Federal Data does."
William Loomis a vice president with Ferris Baker Watts Inc. a Washington D.C. brokerage house said a move "toward the services side" makes sense for Federal Data.
NYMA has performed much of its engineering services work for NASA where the company has provided operations planning for the Hubble Space Telescope and worked on the Earth Observing System Data and Information System pact. The company has also supported air traffic systems projects at the Federal Aviation Administration.
In addition NYMA manufactures its own PCs and is an authorized distributor for Dell Computer Corp. and Compaq Computer Corp. among other companies.