Leidos, Analogic to form security screening joint venture

Reston-based Fortune 500 government contractor Leidos this week announced plans to combine its Security Enterprise Solutions business with New Hampshire-based imaging and detection technology company Analogic to form a new joint venture focused on security screening technologies for airports, borders and critical infrastructure worldwide.

Leidos said Wednesday it entered into an agreement with New York-based investment firm Altaris, which owns Analogic.

The privately held company will operate under the Analogic brand, with Leidos retaining a 41.5% minority stake. Affiliates of Altaris will hold the remaining 58.5%.

As part of the deal, Leidos will contribute its SES business, representing approximately 1,500 employees and $625 million in projected 2026 revenue. A company spokesperson said that figure reflects only the Leidos portion of the business and that the company is not providing longer-term growth or profitability projections at this time.

“Our unified joint venture represents a focused step to strengthen U.S. capabilities in security detection at a time when global travel and trade continue to grow,” Leidos CEO Tom Bell said in a statement.

The joint venture will combine Leidos’ SES business with Analogic’s detection technologies, manufacturing capabilities and engineering expertise into a single U.S.-based enterprise with global reach. Leidos’ SES unit provides security detection systems for airports, ports, borders and other critical infrastructure, with systems deployed in 129 countries and customers across both government and commercial sectors.

A Leidos spokesperson said the new company’s management team will develop specifics of the joint venture’s strategy after the deal closes.

The transaction is expected to close in the second half of 2026, subject to regulatory approvals and other customary conditions. The spokesperson said integration of the two businesses will begin following the closing.

Upon closing, the combined company will be led by Analogic CEO Tom Ripp. Both businesses will continue to operate independently until then.
Leidos said the combination is intended to improve product innovation and streamline research and development, manufacturing and operations, while accelerating the transition to AI-enabled and 3D imaging screening technologies.

“Today marks an important milestone for our company and for the security industry,” Ripp said in a statement. “By combining two highly complementary organizations, we are creating a stronger, more capable company with the expertise and breadth of solutions to better meet evolving customer needs worldwide.”

Leidos has approximately 50,000 employees and reported $17.2 billion in revenue for its most recent fiscal year. Analogic employs about 900 people globally and develops imaging and detection technologies for aviation security, health care and industrial markets.