From our initial spin in 2014, our strategy has been focused on driving growth by allocating capital towards strategic channels, value-added product lines and related services and key geographies. Our aim is to expand our reach into key geographies and add value to our current offering with these strategic investments.
How to Engage in a M&A Conversation with Us
To start a conversation about acquisitions, contact us directly:
VP Corporate Development & Treasury
Our intent for acquiring and integrating companies
- To expand key product lines and related services, such as valves and actuation, safety services, pumps and electrical products
- To further penetrate our downstream and industrial channels
- To grow our international presence
We have acquired and integrated companies into our family for 160 years, with 21 added since 2014.
What we look for
- Leading product distributors and solutions providers
- A company should be a leader in the product lines and solutions they offer to customers. Their position may result from their relationships with manufacturers and strength with key customers or through the value-added solutions they provide.
- Strong financial health
- DNOW seeks companies that have been successful in building a financially strong business. We search for companies with reliable cash generation and a proven earnings track record.
- Interested companies can be of any size if they expand one of our key strategies or provide unique solutions that will enhance our value proposition to our customers. Our preference, generally, is for them to be $50 million or more in annual revenues.
- Ongoing management interest
- We look for business owners who want to monetize their assets, provide a good future for their employees and ensure that their customers remain priority one.
- Our culture requires acquired management to maintain their financial discipline and continue their growth trajectory by leveraging the talent, resources and relationships the combined organization has to offer.
- Skilled employees
- We seek to leverage an acquired company’s employees by educating and integrating them into what makes DistributionNOW a leader in our market. Our marketing channels and growth potential offer newly acquired employees opportunities to remain in the base business or participate in creative redeployment. We have numerous training programs which allow employees to enhance or adopt new skill sets that will open up opportunities, responsibilities and career growth.
- Key geographic markets
- While we will continue to seek out leading product distributors and solutions providers in North America, we are particularly interested in strengthening our differentiated product and solutions offering and growing our presence in Europe, Asia Pacific and the Middle East.