Parsons Corporation (NYSE: PSN) announced today that it has entered into a definitive agreement to acquire IPKeys Power Partners, Inc. Founded in 2014, IPKeys Power Partners enhances Parsons’ critical infrastructure protection capabilities through comprehensive cloud-based cybersecurity, software solutions that operate at the intersection of information and operational technology (IT and OT), and technologies that will help accelerate the global clean energy transition.
The acquisition brings IPKeys’ established customer base, expanding Parsons’ presence in two rapidly growing end markets: grid modernization and cyber resiliency for critical infrastructure. Headquartered in Tinton Falls, New Jersey, IPKeys Power Partners is a trusted provider of enterprise software platform solutions that is actively delivering cyber and operational security to hundreds of electric, water, and gas utilities across North America.
“The addition of IPKeys brings important software platforms and capabilities that strengthen our integrated solutions that protect critical infrastructure,” said Carey Smith, Parsons’ chair, president, and chief executive officer. “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. I look forward to welcoming the IPKeys team to the Parsons family as we continue delivering critical resiliency solutions that protect society in the face of increasing and evolving threats.”
Directly aligned with the Infrastructure Investment and Jobs Act (IIJA), the grid modernization and cyber resiliency markets are poised for continued expansion, particularly as the digitalization of infrastructure accelerates and has resulted in increased cyber risk along with safety and efficiency improvements.
“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, chief executive officer of IPKeys Power Partners. “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.”
The transaction is valued at $43 million and is consistent with Parsons’ strategy of completing accretive acquisitions of companies with revenue growth and adjusted EBITDA margins of 10 percent or greater, while adding critical intellectual property that strengthens the company’s existing portfolio. IPKeys Power Partners will be primarily integrated into Parsons’ Connected Communities business unit and, specifically, the Parsons X digital accelerator organization.
Parsons has decades of experience in delivering infrastructure around the world that helps improve the management, sustainability, efficiency, safety, and quality of life in the communities we serve.
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