SRA To purchase ERP specialist
- By John Moore
- Oct 14, 2005
SRA International plans to acquire Spectrum Solutions Group, in a bid to broaden its reach into the enterprise resource planning (ERP) market.
If consummated, the deal would mark SRA’s third acquisition this year. In April, the company acquired Touchstone Consulting Group, a management consultant, and Galaxy Scientific in July.
The purchase agreement was announced yesterday, and the deal is expected to close in about one month. Terms of the transaction were not disclosed.
Spectrum Solutions focuses on enterprise applications such as Oracle and PeopleSoft. The company counts the departments of Homeland Security and Health and Human Services among its customers. The $15 million company employs more than 90 people.
In a prepared statement, Renny DiPentima, SRA’s president and chief executive officer, said the addition of Spectrum Solutions would boost SRA’s capabilities in the federal ERP market.
Input projects that federal spending on ERP will grow 33 percent between the current fiscal year and fiscal 2010. At that time, the market is expected to reach $7.7 billion. The market research firm reported that the Pentagon will lead the government’s ERP spending, while HHS will top civilian-sector ERP spending.
Spectrum Solutions is teaming with SRA on a recently awarded $97 million contract to support the Federal Aviation Administration’s Financial Management Line of Business Center of Excellence.
SRA announced today that it was awarded a $97 million contract to support a Transportation Department operation that has become a cross-agency financial management services provider.
The six-year contract was awarded under the Chief Information Officer Solutions and Partners 2 Innovations contract. SRA will support the DOT Federal Aviation Administration Enterprise Services Center’s Financial Management Line of Business Center of Excellence. That project involves the deployment of Oracle Federal Financials.