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Shares of cyber intelligence and defense firm KeyW Holding  (KEYW) - Get KEYW Holding Corporation Report skyrocketed Monday after the company said it had agreed to be acquired by Jacobs Engineering Group  (JEC) - Get Jacobs Engineering Group Inc. (J) Report .

The stock price of the Maryland-based contractor, which works closely with the federal government on both cyber defense and "offensive cyberspace operations," shot up more than 42% to $11.22 after the agreement was announced.

Jacobs has agreed to pay $11.25 a share for KeyW, a 43% premium based on KeyW's closing stock price on April 18.

The transaction has an enterprise value of $815 million, which includes $272 million in KeyW debt.

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"This transaction will propel KeyW's capabilities further and create new opportunities for research and development our customers need to enhance their national security and intelligence capabilities," said KeyW CEO and President Bill Weber. "

In a press statement, Jacobs said its acquisition of KeyW will further augment is already sizable government contracting operation, which accounts for a about a quarter of revenue.

This is particularly the case in Jacobs work with government intelligence agencies, with more than 75% of KeyW's employees holding high-level security clearances, the Dallas-based engineering giant said. 

"Jacobs' global reach and proven track record executing large complex enterprise contracts provide a powerful platform to unleash KeyW's complementary rapid technology development," said Jacobs Chair and CEO Steve Demetriou. "