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ACQUISITIONS, DIVESTITURES, AND GOODWILL
6 Months Ended
Sep. 30, 2022
Business Combination and Asset Acquisition [Abstract]  
ACQUISITIONS, DIVESTITURES, AND GOODWILL ACQUISITIONS, DIVESTITURES AND GOODWILL
Acquisition
On March 16, 2022, the Company announced that it had entered into a stock purchase agreement to acquire EverWatch Corp. (“EverWatch”), a leading provider of advanced solutions to the defense and intelligence communities. On October 14, 2022, the Company closed the acquisition for approximately $440.0 million, net of post-closing adjustments, and transaction costs incurred as part of the acquisition. As a result of the transaction, EverWatch became a wholly owned subsidiary of Booz Allen Hamilton Inc. See Note 16 to the condensed consolidated financial statements.
Divestiture
On September 1, 2022, the Company completed the divestiture of its management consulting business serving the Middle East and North Africa (“MENA”) region to Oliver Wyman, a global management consulting firm and a business of Marsh McLennan. The divestiture was substantially comprised of the contracts associated with the MENA business, the assets and liabilities associated with those contracts, and the workforce that provide services under those contracts.
As a result of the transaction, the Company de-recognized the assets and liabilities associated with the MENA business and recognized a pre-tax gain of $31.2 million, which is reflected in other income (expense), net on the condensed consolidated statement of operations. The consideration for the sale of the business is subject to customary working capital adjustments, which may impact the amount of gain recognized.
Goodwill
As of September 30, 2022 and March 31, 2022, goodwill was $2,014.9 million and $2,021.9 million, respectively. The Company allocated approximately $7.0 million of goodwill to the MENA business as part of the divestiture noted above.