QinetiQ buys secure-messaging company

QinetiQ Group plc announced it has completed its purchase of Boldon James Holdings Ltd., a United Kingdom provider of secure messaging solutions for military and government customers.

QinetiQ paid $32 million cash, and plans to pay an additional $8.8 million for the performance of specific criteria. It did not spell out the criteria.

The U.K.-based defense contractor said the acquisition of Bolden James will enhance its portfolio of security-based software products, thereby providing additional routes to market around the globe.

"This acquisition is part of an ongoing process to shape our [Europe, Middle East and Asia] business by growing our capabilities and extending our geographic footprint," said Graham Love, QinetiQ's chief executive officer. "Boldon James brings us established product and service offerings in our strategic markets, and a track record of taking software products to a market that augments our own expertise."

Bolden James' principal customers are international systems integrators, such as EDS Corp., EADS Group, IBM Corp., Fujitsu and Steria, along with the U.K's Ministry of Defence, Germany's Bundeswehr and the U.S. Defense Department. Boldon James has about 70 employees.

QuinetiQ was formed in 2001 when the British government privatized most of its Defense Evaluation and Research Agency. With more than $2 billion in revenues, it has about 12,000 employees in the United Kingdom and the United States.

QuinetiQ North America ranks No. 45 on Washington Technology's 2007 Top 100 list of the largest federal government prime contractors.