Australia's biggest information security consultancy Stratsec will be acquired by British defence giant BAE Systems in a deal that could top $20 million, Risky.Business reports.
The independent consultancy merged with rival SIFT in May last year in a deal that valued SIFT at about $3 million.
It has since ramped up hires, recruiting some 25 staff since the merger, and now has a total of about 60 consultants.
Stratsec chief technology officer Nick Ellsmore could not comment on the deal, and said it is presently speculation.
The British weapons mammoth BAE has a revenue in excess of US$22 billion.
IBRS security analyst said that a buy-out of Stratsec would be a "smart move".
"They have been strengthening their position for some time, and if BAE wishes to build on its security capabilities, then an acquisition of Stratsec would be a smart move," Turner said.