The Department of Justice filed a civil antitrust lawsuit on Wednesday to block Booz Allen Hamilton Holding Corp.’s
proposed acquisition of EverWatch Corp.
The department alleges that the merger would create a monopoly bidder and threaten competition for a government contract to provide operational modeling and simulation services to the National Security Agency, according to a complaint filed in U.S. District Court in Maryland.
Booz Allen, the parent company of information technology consulting firm Booz Allen Hamilton Inc., said in March that it planned to acquire the subsidiary of EC Defense Holdings LLC. Terms of the transaction were not disclosed at the time.
EverWatch is a government solutions company focused on defense and intelligence work.
Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division said in prepared remarks that the agreement “imperils competition in a market that is vital to our national security.”