To make this website work, we log user data. By using Shephard's online services, you agree to our Privacy Policy, including cookie policy.

Open menu

Huntington Ingalls Industries to acquire Alion Science and Technology

6th July 2021 - 18:30 GMT | by The Shephard News Team


Alion's engineers develop and integrate solutions that help joint warfighters win decisively as part of multi-domain combat operations. (Photo: Alion Science and Technology)

Huntington Ingalls Industries has announced that it has entered into a contract to acquire Alion Science and Technology.

Huntington Ingalls Industries has entered into a definitive agreement to acquire Alion Science and Technology for $1.65billion in cash from Veritas Capital, subject to customary adjustments.

Alion is a high value-added, technology-driven solutions provider for the global defence marketplace.

The transaction represents an enterprise value-to-expected 2022 adjusted EBITDA multiple of approximately 12.2x.

EBITDA stands for Earnings Before Interest, Taxes, Depreciation and Amortisation and is a metric used to evaluate a company’s operating performance.

Alion provides advanced engineering and R&D services in the areas of ISR, military training and simulation, cyber, data analytics and other next-generation technology-based solutions.

Existing customers include the US DoD, intelligence community customers and the USN, which represents about one-third of current annual revenue.

Alion is poised for continued strong growth with over $3billion in backlog today, more than $5billion in estimated contract value and a robust opportunity pipeline.

This acquisition will enhance HII’s technical capabilities and positions the company in high-growth mission-critical security solutions, such as C5ISR, advanced military training and simulation, artificial intelligence, big data and electronic warfare. 

Share to