Parsons to acquire N.J. software company

Centreville-based Fortune 1000 defense contractor Parsons Corp. has entered into an agreement to acquire IPKeys Power Partners Inc., a New Jersey provider of enterprise software platform solutions, the company announced Tuesday.

The $43 million acquisition is expected to close in the second quarter.

IPKeys Power Partners delivers cyber and operational security to electric, water and gas utilities across North America, according to a news release.

“The addition of IPKeys brings important software platforms and capabilities that strengthen our integrated solutions that protect critical infrastructure,” Parsons’ Chair, President and CEO Carey Smith said in a statement. “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.”

IPKeys Power Partners has about 70 employees, with office in Louisiana, Texas and California, in addition to its headquarters in Tinton Falls, New Jersey. The company will be integrated into Parsons’ Connected Communities business unit and the Parsons X digital accelerator organization, a spokesperson told Virginia Business.

“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, CEO of IPKeys Power Partners, in a statement. “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.”

In May 2022, Parsons closed on its $400 million acquisition of Reston-based Xator Corp.

Parsons reported fourth quarter revenue of $1.1 billion, representing total growth of 16%, with net income of $28 million. For fiscal year 2022, Parsons reported revenue of $4.2 billion, 15% growth and net income of $97 million. In 2022, Parsons ranked no. 733 on the Fortune 1000 list.