CSRA to be acquired by General Dynamics

General Dynamics announces move to acquire CSRA

BOSSIER CITY, LA (KSLA) - A Bossier City company that provides information technology services to the federal government soon could be sold.

CSRA's website says it will be acquired by General Dynamics.

General Dynamics will buy all outstanding shares of CSRA for $40.75 in cash for a total of $9.6 billion.

"The acquisition of CSRA represents a significant strategic step in expanding the capabilities and customer base of GFIT," said Phebe Novakovic, chairman and chief executive officer of General Dynamics.

"CSRA's management team has created an outstanding provider of innovative, next-generation IT solutions with industry-leading margins."

General Dynamics sees "substantial opportunities" to provide support to the U.S. Defense Department and other agencies, Novakovic added.

CSRA CEO and President Larry Prior stated the move is beneficial to all parties.

"Our combination with General Dynamics represents an excellent outcome for CSRA's stockholders, employees and customers. It builds on strong shared values, culture and a passion for serving our customers' missions."

"One of the things we found very compelling about CSRA are their strategic alliances. So, we see this as a nice synergy from a GDIT perspective, and we love their go to market business model - really good.," said Novakovic.

CSRA moved into its Integrated Technology Center on East Texas Street in Bossier City in October 2016.

The building features specialized meeting and conference rooms, workspaces and data centers.

When CSRA opened, it had planned to hire 800 employees by June 2018. It currently has over 700 employees.

"We plan to take full advantage of CSRA's Integrated Technology Center, located in Shreveport-Bossier City, as we integrate our companies," said spokesperson Lucy Ryan.

"CSRA has an excellent team. They share the same values and culture as General Dynamics," Ryan added. "CSRA's employees are a big part of the company's success, and we are entering into this agreement because it is successful."

Mimi Hedgecock, Senior Principal External Affairs at CSRA, called the acquisition "great news" for the company and Shreveport-Bossier region.

So what will this mean for Bossier City?

"I think General Dynamics and their IT division bring a lot to the table. CSRA is a good partner of ours and has been a great company in our region and they are growing that technology- based, knowledge- based economy and educating a lot of folks in that economy. General Dynamics sees an opportunity with CSRA and what they are doing within their government sector, and I think we will benefit from that from what we have already put on the ground here," said David "Rocky" Rockett who heads the Greater Bossier Economic Development Foundation.

Lisa Johnson, President of the Bossier City Chamber of Commerce, said the chamber is happy to have both companies in the community and is excited to hear about the next steps.

General Dynamics says it will continue to operate separately from CSRA until the regulatory review process is complete. They expect to close in the first  half of this year.

Click here for the full announcement.

Copyright 2018 KSLA. All rights reserved.