Advisory firms SPA, MCR to merge

Systems Planning and Analysis Inc and MCR are both based in the US state of Virginia. (Getty Images)

US private equity firm Arlington Capital Partners has agreed to acquire Systems Planning Analysis Inc (SPA) and merge it with MCR LLC, which it already owns, to form a US national security systems advisory firm with 1,200 employees and USD350 million in annual revenue, Arlington announced on 6 October.

“Arlington's investment facilitates the creation of a combined company that will provide specialised advisory solutions to the most critical and complicated government missions,” Arlington said.

SPA president and CEO William Vantine will become president and CEO of the combined company when the acquisition closes “in the coming weeks”, Arlington said. SPA is owned by US-based CM Equity Partners and SPA management. Financial terms of the deal were not disclosed.

MCR CEO Bill Parker said that SPA's “unique positions” with customers as the US Defense Threat Reduction Agency, the US Navy, and the US Office of the Secretary of Defense will complement his company's “strength” with customers the US Air Force and US Space Force.

Founded in 1972, SPA provides systems engineering, modeling and simulation, analytics, programme management, and other services to defence and other government customers in the United States and Australia.

MCR, which was founded in 1977 as Management Consulting & Research Inc, provides cost analysis, engineering, and software development to aviation, intelligence, missile, and space programmes, among others. Arlington announced in August that it had agreed to acquire MCR.

SPA and MCR are both based in Northern Virginia.

Arlington vice president Ben Ramundo said that additional acquisitions are possible to help the newly combined company grow.