Ferguson Enterprises Inc. has entered into a definitive agreement to acquire FWI Holdings, Inc. (FloWorks), a leading industrial distributor and service provider of highly technical valves and flow control solutions, from Wynnchurch Capital L.P.
The all-cash transaction values FloWorks at an enterprise value of approximately $1.6 billion. Ferguson expects the acquisition to generate significant revenue synergies, along with cost savings through network optimisation, logistics, and technology integration. Including anticipated synergies of approximately $45 million, the purchase price represents an acquisition multiple of around 10x the company’s last twelve months (LTM) adjusted EBITDA. Following the completion of the transaction, Ferguson expects to remain within its targeted net debt-to-adjusted EBITDA range of 1–2x as it continues to execute its capital allocation strategy.
Headquartered in Houston, FloWorks generated approximately $1 billion in revenue in 2025. With a history spanning more than 65 years, the company operates over 60 locations across the United States and Canada, serving highly technical industries such as chemicals, refining, power generation, semiconductors, pharmaceuticals, and data centres. The acquisition is expected to strengthen Ferguson’s specialty industrial flow control platform by expanding its technical expertise, broadening its exposure to attractive end markets and product categories, and increasing recurring maintenance, repair, and operations (MRO)-driven revenue.
According to Ferguson, the acquisition will enhance its position in high-growth industrial markets by adding complementary capabilities and expanding its geographic reach across non-residential customer segments. The company also expects FloWorks’ technical expertise and portfolio of original equipment manufacturer (OEM) brands to strengthen its ability to deliver specialised water solutions to professional customers.
FloWorks stated that the transaction marks the next stage in the company’s 65-year history, providing access to Ferguson’s larger platform, operational capabilities, and resources while maintaining its commitment to customer service and operational excellence.
The transaction is expected to close during the third quarter of 2026, subject to customary closing conditions and regulatory approvals.
J.P. Morgan Securities LLC is serving as Ferguson’s exclusive financial advisor, while J.P. Morgan Chase Bank, N.A. is providing committed financing for the transaction. Orrick, Herrington & Sutcliffe LLP is acting as legal counsel, and Kirkland & Ellis LLP is advising Ferguson on the financing aspects of the acquisition.
For more information visit www.corporate.ferguson.com
