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. Acquisitions are a significant, historical part of our strategy.
- 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 been acquiring and integrating companies into our family for 150 years, with 15 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 who have been successful in building a financially strong business. We search for companies with reliable cash generation and who have 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.
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 take part in creative redeployment. We have numerous training programs which allow employees to enhance or adopt new skillsets 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.