The emergence of highly attractive and complementary homeland security related companies and an increase in federal information technology (IT) and aerospace & defense (A&D) wartime spending is contributing to significant merger & acquisition (M&A) activity in the federal market. In addition to the low cost of debt, these favorable external market conditions created a more stable environment for acquisitions and increased the buyers chances for success in the federal market. This report examines the notable IT and A&D deals to date in fiscal year 2005.
