SupplyHouse Receives Strategic Investment from KKR

Rhea-AI Summary

KKR (NYSE:KKR) has announced a strategic investment in SupplyHouse, a leading e-commerce platform for HVAC, plumbing, and electrical products. SupplyHouse, founded in 2004, has served over 7 million customers across the U.S. through its proprietary platform and TradeMaster loyalty program.

The investment comes through KKR's Ascendant Strategy, part of its Americas Private Equity platform, focusing on middle market businesses. SupplyHouse, with its 1,200 team members, will maintain its employee-centric culture and collaborate with KKR to ensure team members share in the company's future success. Financial terms of the investment were not disclosed.

Positive

• Strategic partnership with leading global investment firm KKR provides growth capital and expertise
• Strong market position with 7 million customers served and established e-commerce platform
• Commitment to employee ownership and engagement through KKR partnership
• Successful track record of organic growth in HVAC, plumbing, and electrical distribution

Negative

• Financial terms and investment size not disclosed, limiting transparency

Insights

Private Equity Analyst

KKR's investment in SupplyHouse represents strategic expansion into specialized e-commerce, leveraging KKR's Ascendant Strategy for middle-market growth.

This strategic investment by KKR in SupplyHouse marks a significant move for the global investment firm's Ascendant Strategy, which targets middle-market businesses in North America. SupplyHouse has established itself as a rapidly growing distributor in the HVAC, plumbing, and electrical product space, serving over 7 million customers through its e-commerce platform.

The investment highlights KKR's continued interest in vertical-specific e-commerce platforms with proven growth trajectories. SupplyHouse's differentiators include its proprietary platform, TradeMaster loyalty program, nationwide logistics network, and customer service reputation—all valuable assets in the fragmented trade supplies distribution market.

While financial terms weren't disclosed, this partnership appears strategically aligned on two key dimensions: operational growth and cultural values. KKR's experience scaling middle-market companies combined with SupplyHouse's established market position creates potential for accelerated expansion. Additionally, both organizations emphasize employee ownership models, with explicit mentions of plans for team members to share in future success.

For KKR investors, this represents further diversification within the firm's private equity portfolio through its Americas platform. The investment aligns with broader industry trends toward digitization of traditionally fragmented distribution channels, particularly those serving trade professionals. With SupplyHouse's 1,200 employees and established e-commerce infrastructure, KKR is backing a platform with proven unit economics rather than early-stage speculation.

MELVILLE, N.Y. and NEW YORK, July 17, 2025 /PRNewswire/ -- SupplyHouse (or, the "Company"), a leading pure-play e-commerce platform for the distribution of HVAC, plumbing, and electrical products, and KKR, a leading global investment firm, announced the formation of a strategic partnership to support the Company's long-term growth strategy. As part of the strategic partnership, funds affiliated with KKR have invested in SupplyHouse. Financial terms were not disclosed.

Founded in 2004, SupplyHouse is one of the fastest-growing distributors in its category, having served over 7 million customers across the U.S. through its proprietary e-commerce platform, leading TradeMaster loyalty program, nationwide logistics network, and best-in-class customer service team. With a relentless focus on customer experience, the Company supports professionals across the HVAC, plumbing, and electrical trades. Built on a culture of teamwork, innovation, and customer-centricity, SupplyHouse is consistently recognized as one of the best places to work in the United States.

"We are excited to welcome KKR as a strategic partner, especially given our shared values around cultivating a 'team first' mindset," said Josh Meyerowitz, Founder and CEO of SupplyHouse. "KKR's experience and long-term vision align with our goals to expand our operations and enhance our service while maintaining our culture. I am proud of all that SupplyHouse's 1,200 team members have achieved together and we are confident this strategic partnership will enable us to continue our growth journey."

"Josh and the SupplyHouse team have developed a differentiated, vertical-focused e-commerce model that delivers meaningful value to customers and has driven an exceptional track record of organic growth," said Brandon Brahm, Partner at KKR and Co-Head of KKR's Ascendant Strategy. "We are excited by the compelling culture Josh has fostered at SupplyHouse that puts employees and customers at the center, which aligns well with KKR's own approach to broad-based employee ownership and engagement. We look forward to working with the entire SupplyHouse team as we embark together on this next exciting chapter of growth and innovation."

As part of the Company's continued commitment to building a people-first culture, SupplyHouse will collaborate with KKR in ensuring all team members continue to share in the Company's future success. This strategy is based on the shared belief that employee engagement is a key driver in building stronger companies.

KKR is making its investment in SupplyHouse through its Ascendant Strategy, which invests in middle market businesses in North America as part of KKR's Americas Private Equity platform.

Evercore served as exclusive financial advisor to SupplyHouse, and Sidley Austin LLP acted as legal advisor. Baird served as exclusive financial advisor to KKR, and Kirkland & Ellis LLP acted as legal advisor.

About SupplyHouse

SupplyHouse is a leading e-commerce distributor of HVAC, plumbing, and electrical products. Founded in 2004, the Company serves trade professionals across the United States through a proprietary digital platform that features intuitive tools designed to simplify product discovery and purchasing. SupplyHouse offers over 250,000 SKUs from more than 500 brands and operates a national fulfillment network capable of reaching 98% of the U.S. population within two days. With a strong focus on the customer experience, the Company delivers high-quality service through a dedicated, in-house support team and its TradeMaster loyalty program, which offers added value and convenience for professional customers. Its people-first culture emphasizes teamwork, continuous improvement, and long-term growth, and has earned the Company national recognition as an outstanding workplace.

About KKR

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit, and real assets and has strategic partners that manage hedge funds. KKR's insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR's investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR's website at www.kkr.com. For additional information about Global Atlantic Financial Group, please visit Global Atlantic Financial Group's website at www.globalatlantic.com.

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SOURCE SupplyHouse.com

FAQ

What is KKR's strategic investment in SupplyHouse?

KKR has made a strategic investment in SupplyHouse, a leading e-commerce platform for HVAC, plumbing, and electrical products, through its Ascendant Strategy. Financial terms were not disclosed.

How many customers does SupplyHouse serve?

SupplyHouse has served over 7 million customers across the United States through its proprietary e-commerce platform and TradeMaster loyalty program.

How many employees does SupplyHouse have?

SupplyHouse currently employs 1,200 team members and is consistently recognized as one of the best places to work in the United States.

What is KKR's investment strategy for SupplyHouse?

KKR is investing through its Ascendant Strategy, focusing on middle market businesses in North America, with plans to support SupplyHouse's long-term growth while maintaining its employee-centric culture.

Who were the advisors for the KKR-SupplyHouse deal?

Evercore served as financial advisor to SupplyHouse with Sidley Austin LLP as legal advisor, while Baird advised KKR with Kirkland & Ellis LLP as legal counsel.