Lockheed Martin [LMT] on Thursday said it has agreed to acquire Systems Made Simple
, a provider of health information technology (IT) and analytics solutions to the federal government, boosting its capabilities in the health IT space.
Terms of the deal, which is expected to close within 30 days, were not disclosed, although Lockheed Martin said it would be immaterial to its financial results.
“Technology is rapidly transforming the healthcare landscape in the United States, and is critical to reducing costs and improving patient care,” Marillyn Hewson, Lockheed Martin’s chairman, president and CEO, said in a statement. “Systems Made Simple’s capabilities in engineering health technology solutions are a natural extension of our existing health IT portfolio, and will enable us to deliver a broader portfolio of capabilities to meet our healthcare customers’ current and future needs.”
Systems Made Simple is on the Transformation Twenty-One Total Technology (T4) contract that supports the Department of Veterans Affairs IT modernization efforts. The VA is the company’s largest customer. Lockheed Martin said it is not on the T4 contract.
Systems Made Simple, which has about 500 employees and is based in New York, will become part of the Health and Life Sciences business within Lockheed Martin’s Information Systems and Global Solutions segment.
Houlihan Lokey is Systems Made Simple’s financial adviser on the deal.