Saturday, June 15, 2024

PAR Technology Sells Government Segment For $102M, Doubles Down on Restaurant Tech – PAR Technology (NYSE:PAR)

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PAR Technology Corporation PAR disclosed the sale of its Government segment, including subsidiaries PAR Government Systems Corporation and Rome Research Corporation, for $102 million.

The company stated that it has completed the sale of all equity interests in PGSC to Booz Allen Hamilton Holding Corporation BAH, with the transaction finalized on June 7.

PAR had entered into a deal to sell RRC to NexTech Solutions Holdings, LLC (NTS). Under this agreement, NTS will acquire all equity interests in RRC, and the transaction is expected to close by the end of the second quarter of 2024.

This divestiture is part of PAR’s strategy to sell non-core assets and reinvest capital for higher returns.

The acquisition enhances Booz Allen’s position at the intersection of mission and technology, aligning with its VoLT (Velocity, Leadership, Technology) growth strategy, investment thesis, and current and anticipated Department of Defense priorities.

Savneet Singh, PAR Technology’s Chief Executive Officer, said, “Today’s announcement represents a milestone in advancing PAR’s goal to become the world’s largest technology provider to enterprise foodservice.”

“The sale of our Government operating segment to notable strategic buyers, Booz Allen Hamilton and NexTech Solutions provides a clear fit for these businesses, allows for a seamless transition and sets up both PGSC and RRC for continued success.”

Price Action: PAR shares closed higher by 6.12% at $45.57 on Monday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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