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Capgemini signs agreement to acquire IT services provider VariQ, adding scalability and strengths to its Government Solutions capabilities in the U.S.

14 Sep 2021

Acquisition would reinforce Capgemini Government Solutions LLC, part of the Capgemini Group, with further software development, cybersecurity and cloud service capabilities for federal government clients

Paris and Virginia, September 14, 2021 – Capgemini announced today that it has entered into a stock purchase agreement (SPA) to acquire VariQ pending U.S applicable regulatory approvals. VariQ would be integrated into Capgemini Government Solutions LLC, Capgemini’s independent operating division working with U.S. government agencies. This acquisition would strengthen the company’s position in the Federal market and build momentum for continued growth.

VariQ was founded in 2003 and serves as a provider of Software Development, Cybersecurity, and Cloud services for federal government departments and agencies across the United States. These services are delivered through multiple contract vehicles, including the Alliant 2 best-in-class contract vehicle. Additionally, the company holds a digital transformation entity (Rivet Logic, acquired in 2020) which serves a set of commercial clients and would join forces with Capgemini in the U.S. to expand digital capabilities and key technology partners.

“As a company we are continuing to find ways to expand our ability to serve U.S. government agencies and this acquisition would augment our digital and agile capabilities while growing our talent base,” said Jim Bailey, CEO of Capgemini’s Americas Strategic Business Unit and Group Executive Board Member. “This acquisition marks an important moment for Capgemini Government Solutions and our vision for growth in the Americas.”

“The addition of strong talent and expanded best-in-class contract vehicles would advance Capgemini Government Solutions’ ability to provide industry-leading solutions to the agencies we serve,” said Doug Lane, CEO, Capgemini Government Solutions LLC. “As we look ahead, we are motivated by the ability to cultivate strong partnerships with those we serve to deliver on transformative digital initiatives.”

“At VariQ, we have continued to prioritize digital-first, secure agile capabilities and build a highly skilled team to deliver on priorities that align well to Capgemini and Capgemini Government Solutions,” said Ben Edson, Founder & CEO of VariQ. “Joining Capgemini would provide the scale and expansive capabilities to enable us to better serve our 20+ client agencies. We look forward to delivering end to end solutions in support of our clients’ missions.”

The completion of the acquisition is subject to Committee of Foreign Investment in the United States (CFIUS) and Defense Counterintelligence and Security Agency (DCSA) approvals. The transaction is expected to close by the end of 2021, subject to such regulatory filings.

About Capgemini

Capgemini is a global leader in partnering with companies to transform and manage their business by harnessing the power of technology. The Group is guided everyday by its purpose of unleashing human energy through technology for an inclusive and sustainable future. It is a responsible and diverse organization of 290,000 team members in nearly 50 countries. With its strong 50 year heritage and deep industry expertise, Capgemini is trusted by its clients to address the entire breadth of their business needs, from strategy and design to operations, fuelled by the fast evolving and innovative world of cloud, data, AI, connectivity, software, digital engineering and platforms. The Group reported in 2020 global revenues of €16 billion.

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About Capgemini Government Solutions LLC

Capgemini Government Solutions is committed to working with government clients to support them in their strategic, tactical and transformation initiatives. Capgemini helps organizations create sustainable value by employing innovative business process improvement strategies and applied solutions that utilize a unique method of engagement: the Collaborative Business Experience (CBE). By providing public and private sector experience, best practices, and proven tools and methodologies tailored for the U.S. government’s unique requirements, we help clients build knowledge and capabilities as we work together to drive transformation agendas. With a dedicated core team of professionals in Mclean, VA, Capgemini Government Solutions was formed in 2002 as an independent operating division of Capgemini to offer U.S. Government agencies deep transformation, consulting, and IT expertise.

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