Distribution Solutions Group, Inc. reports developments as a specialty distribution company serving maintenance, repair and operations, original equipment manufacturer and industrial technology markets. Its businesses include Lawson, TestEquity, Gexpro Services and the Canada Branch Division, with offerings that include specialty MRO products, test and measurement equipment, industrial and electronic production supplies, vendor managed inventory programs and supply chain solutions.
Company news commonly covers consolidated results, organic sales trends, profitability, cash flow, liquidity, acquisitions and financing activity. Updates also include completed expansion moves such as Eastern Valve & Control Specialties in Atlantic Canada, credit-facility amendments, share repurchase authorizations, governance matters and management roles tied to M&A and strategy.
Distribution Solutions Group (NASDAQ: DSGR) signed a definitive agreement to acquire GradeEight Holdings, the operator of Winzer and FastServ Supply. GradeEight generates approximately $110 million in annual sales. DSG expects the acquisition to increase its adjusted EBITDA margins, a measure of earnings relative to sales that excludes certain expenses and adjustments.
Winzer distributes maintenance, repair and operations products through more than 270 franchisees serving approximately 12,000 customers. Its reach includes all 50 states, Puerto Rico, Mexico and Canada; FastServ operates retail storefronts in Texas and Arkansas. Funding will come from existing cash and availability under DSG’s amended credit agreement. Closing is expected in the fourth quarter of 2026, subject to customary closing conditions. DSG plans to invest in tools, products and growth opportunities for franchisees and FastServ locations.
Distribution Solutions Group (NASDAQ: DSGR) announced that affiliate-controlled Eclipse Acquisitions Merger Sub priced an upsized $800 million senior notes offering. The offering increased from $700 million; the notes carry a 10.000% rate and mature in 2032. Closing is expected October 15, 2026.
Proceeds will remain in escrow pending conditions, including substantially concurrent completion of the merger in which LKCM Headwater affiliates would acquire DSG shares they do not already own for $35.00 per share in cash. DSG would survive the merger and assume the notes. Stockholder approval remains required. DSG expects released proceeds, together with a sponsor equity contribution, to fund the share purchase, repay part of existing credit-agreement debt and cover transaction fees and expenses.
Distribution Solutions Group (NASDAQ: DSGR) announced a proposed $700 million senior notes offering by Eclipse Acquisitions Merger Sub to support its merger.
The notes would mature in 2032. The issuer is controlled by LKCM Headwater Investments, whose affiliates would acquire DSG shares they do not already own for $35.00 per share in cash. Gross proceeds are expected to remain in escrow pending conditions, including substantially concurrent merger completion. DSG would survive the merger and assume the notes; subsidiaries obligated under its existing credit agreement would guarantee them. DSG expects released proceeds, together with a sponsor equity contribution, to fund merger consideration, repay part of existing credit-agreement debt and cover transaction expenses. The offering depends on market and other conditions; the merger requires stockholder approval.
Distribution Solutions Group (DSGR) announced the acquisition of American Fasteners Corp., a South Florida distributor of fasteners, tools, construction supplies and other industrial MRO products. The deal expands DSG’s customer base and geographic footprint in South Florida and enhances reach into export markets in Latin America and the Caribbean.
American Fasteners, founded in 1981 and based in Miami, operates three South Florida locations and serves more than 11,000 customers, primarily in construction and related end markets. The business generates approximately $39 million in annual revenue and is expected to be accretive to DSG’s EBITDA margin profile. The acquisition was funded with DSG’s existing cash balances and available capacity under its amended credit agreement. AFC is also noted as the largest Milwaukee Tool dealer in its region, adding breadth to DSG’s product offering within its Lawson Products platform.
Distribution Solutions Group (NASDAQ: DSGR) reported 2026 Q2 revenue of $557.7 million, up 11.0% year-over-year, driven by 10.2% organic growth and $4.1 million from the Eastern Valve acquisition. GAAP operating income was $27.9 million, net income $8.5 million, and diluted EPS $0.18, while non-GAAP adjusted diluted EPS rose to $0.47. Adjusted EBITDA increased to $53.9 million (9.7% of sales). Gross margin declined to 32.3%. Operating cash flow for the quarter was $22.0 million, and total liquidity was $420.2 million with net debt leverage of 3.4x.
Subsequent to quarter-end, entities controlled by LKCM Headwater, already owning ~79% of DSG, agreed to acquire remaining shares for $35.00 in cash per share, an ~81% premium to the March 13, 2026 close, after unanimous approval by a special committee of disinterested directors. According to Distribution Solutions Group, the transaction will take the company private and remove its Nasdaq listing, subject to regulatory and shareholder approvals.
Distribution Solutions Group (NASDAQ: DSGR) announced it will release financial results for its second quarter ended June 30, 2026 on Thursday, August 6, 2026, before the market opens. The earnings release and related financial information will be posted on the company’s investor relations website.
Distribution Solutions Group is a multi-platform specialty distribution company serving MRO, OEM and industrial technologies markets. Formed through the combination of Lawson Products, Gexpro Services and TestEquity, DSG supports about 220,000 customers with approximately 4,300 employees and ships from distribution and service centers across North America, Europe, Asia, South America and the Middle East.
Distribution Solutions Group (NASDAQ: DSGR) entered a definitive merger agreement under which newly formed entities controlled by LKCM Headwater Investments will acquire all DSG shares they do not already own for $35.00 per share in cash. LKCM Headwater and affiliates currently hold about 79% of outstanding common stock.
The cash price is $5.50 above LKCM Headwater’s initial non‑binding proposal of $29.50 on March 14, 2026 and represents an approximately 81% premium to DSG’s $19.31 closing price on March 13, 2026. A Special Committee of disinterested directors unanimously approved the deal and recommended Board approval; the Board then approved it with certain directors recusing themselves. Closing is subject to customary conditions, including HSR Act clearance, absence of legal restraints and approval by a majority of votes cast by unaffiliated stockholders. The deal is not subject to a financing condition, and DSG amended its credit agreement to permit use of revolving loans to finance the transaction. Upon completion, DSG will become a privately held company fully controlled by LKCM Headwater and will be delisted from Nasdaq.
Distribution Solutions Group (NASDAQ:DSGR) reported Q1 2026 results with revenue of $496.0M, up 3.8% year-over-year, driven by 3.6% organic growth and a partial-quarter Eastern Valve acquisition contribution of $0.8M. Adjusted EBITDA was $37.8M (7.6% of sales) with sequential margin improvement; net income was $0.4M. Total liquidity was $415.2M and net debt leverage was 3.8x.
Distribution Solutions Group (NASDAQ: DSGR) will report first-quarter FY2026 results for the period ended March 31, 2026, on Thursday, April 30, 2026, pre-market. The company said it will not host a conference call because it received an unsolicited, preliminary, non-binding take-private proposal of $29.50 per share from LKCM Headwater Investments. As of the filing date, LKCM Group beneficially owned approximately 78.7% of outstanding shares. The earnings release and financials will be posted on the company's investor relations website.
Distribution Solutions Group (NASDAQ: DSGR) confirmed receipt of an unsolicited, non-binding proposal from LKCM Headwater Investments to acquire all outstanding DSG shares not owned by LKCM for $29.50 per share on March 16, 2026.
The DSG Board said it will review the proposal with independent and legal advisors to determine the course of action it believes is in the best interest of all DSG shareholders. DSG serves ~220,000 customers with ~4,300 employees across multiple global markets.