Science Applications International Corp., the largest privately held defense contractor, plans an initial public stock offering early next year.(Washington Insider)

Set-Aside Alert, September, 2005

Science Applications International Corp., the largest privately held defense contractor, plans an initial public stock offering early next year. The company says it hopes to raise $1.7 billion, nearly as much as Google raised in its IPO in 2004.

SAIC's shareholders are more than 35,000 current and former employees, who will be able to cash in on the rapid growth in defense and homeland security spending since 9/11. The employee-owners will retain control of the company after the IPO, according to a filing with the Securities and Exchange Commission.