US$1bn Funding Round Announced for Leidos & Analogic Venture
Blackstone Credit and Insurance (BCXI) announces it is leading a US$1bn round of funding for the joint venture announced earlier in the year between investment firm Atlaris and Leidos.
Atlaris manages over US$9bn in equity capital, and has invested in more than 50 companies since its founding in 2003.
Leidos Holdings announced a partnership with Atlarisā Analogic for a joint venture agreement which aims to improve security infrastructure in airports and borders in April earlier this year.
It focusses on advancing security detection systems and imaging technology. The joint venture operates under the Analogic brand, with Leidos retaining a minority stake.
BCXI served as the lead lender and joint lead arranger for the transaction, which closed in early October this year.
HPS, Bank of America and Wells Fargo were also involved.
Brad Colman, Global Head of Healthcare Investing and Sponsor Coverage for Private Credit Strategies in BXCI, says: “We are pleased to support the combined business with this financing solution to help create a scaled, integrated leader in security detection.
“This transaction reflects our ability to provide large-scale, flexible capital to market-leading platforms.”
Mission-critical environments
The joint venture utilises Analogicās specialised portfolio of advanced imaging, detection and automation solutions.
The provider supports industries such as aviation security, ports and borders, healthcare, industrial markets and critical infrastructure.
The new joint venture is based in the US, aiming to streamline global operations within a single base.
In April, when the transaction was first announced, Tom Bell, CEO of Leidos, said: āOur unified joint venture represents a focused step to strengthen US capabilities in security detection at a time when global travel and trade continue to grow.
āCombining SES with Analogic will position the new company to promote investment in innovation, deliver more efficient solutions for the US government and ensure that the world's advanced security technology is designed and engineered from the US.ā
Combining SES with Analogic will position the new company to promote investment in innovation, deliver more efficient solutions for the US government and ensure that the world's advanced security technology is designed and engineered from the US.”
Improving innovation with investment
With aims of improving innovation in the security product landscape, the joint venture also focuses on AI-native solutions.
It will support a faster transition to AI-native solutions, alongside 3D solutions, for a more efficient and effective screening experience.
The launch is also in line with Leidos’ NorthStar 2030 Strategy, which targets five “growth engines”, according to the company.
In the fiscal year ending 02 Jan 2026, Leidos reported US$17.2bn in annual revenue.
The engines include defence technology, digital infrastructure and cyber, energy resilience, managed health and mission software.
Upon the completion of the deal earlier this month, Tom Bell noted that the joint venture “creates an American innovator with the technology, talent and scale to address rapidly evolving global security screening needs”.
As part of the deal, Leidos is contributing approximately 1,500 of its 50,000 employees, bringing a value of US$635m in projected 2026 revenue to the joint venture.
- Leidos has approximately 50,000 employees
- Atlaris manages over US$9bn in equity capital
- In the fiscal year ending 02 Jan 2026, Leidos reported US$17.2bn in annual revenue
- Atlaris has invested in 50 companies since its inception in 2003
- 1,500 employees representing US$635m in projected 2026 revenue will join from Leidos
Leidos partners:
Rune: Leidos and Rune Technologies have joined forces to boost military supply chain planning across the Indo-Pacific. The collaboration helps commanders anticipate resource needs, maintain equipment readiness and manage complex military logistics in challenging environments.
OpenAI: Leidos is embedding OpenAI’s advanced models into public sector operations to streamline workload management across defense, healthcare, and civil agencies. Beyond deploying agentic AI tools to federal clients, Leidos has rolled out ChatGPT across its own workforce to speed up software development, strengthen supply chain tracking and conduct deepfake detection.
ServiceNow: Recognised as ServiceNow’s 2026 Service Provider Rising Star Partner for Asia-Pacific, Leidos works closely with the platform to modernise workflows for government clients. The alliance blends ServiceNow’s automated AI systems with Leidos’ experience in highly regulated sectors, helping agencies update legacy infrastructure, streamline service delivery and scale digital operations securely.
Altaris: Leidos completed a deal with private equity firm Altaris to launch a US-based joint venture operating under the Analogic brand. Combining Leidos’ Security Enterprise Solutions unit with Analogic’s existing tech, the new business focuses on manufacturing advanced security screening systems, airport scanners and threat detection technologies for global transport hubs.
SecondFront: Leidos serves as the primary services partner for Second Front Systems, helping deploy its Game Warden platform across national security agencies. The joint initiative simplifies how commercial software secures government compliance approvals, allowing defense and civil departments to test, accredit and roll out new digital tools in months rather than years.
