IT Staffing Report: Feb. 6, 2020

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ASGN acquires federal division of Blackstone Technology Group in $85 million deal

IT and professional staffing provider ASGN Inc. (NYSE: ASGN) reported that its acquisition of the federal division of Blackstone Technology Group for $85 million in cash is now complete.

The division is now part of the ECS government IT solutions and services segment at Calabasas, California-based ASGN.

“Blackstone Federal’s talented team and solution offerings are an excellent addition to our rapidly growing ECS segment, which is focused on large and complex IT solutions across key and attractive Federal government customers,” ASGN President and CEO Ted Hanson said.

The deal fits with ASGN’s strategy for ECS to exceed $1 billion in revenue through organic growth and acquisitions.

Blackstone Federal posted revenue of approximately $44 million in 2019 and projects 10% growth in 2020. The division was founded in 2002 in Arlington, Virginia.

As part of the deal, ASGN will grant restricted stock units to seven Blackstone Federal employees for a total of approximately 31,000 shares.