NEWPORT NEWS, VA. & HOUSTON, TX. — Ferguson Enterprises Inc. has entered into a definitive agreement to acquire FloWorks, a distributor of industrial valves and flow control products, in a transaction valued at approximately $1.6 billion.

The acquisition expands Ferguson's industrial distribution platform by adding specialized flow control products, engineering expertise and additional geographic coverage across North America. Company officials expect the transaction to generate both revenue growth opportunities and operational efficiencies through network optimization, logistics and technology.

Acquisition Broadens Industrial Product Offering

Based in Houston, FloWorks operates more than 60 locations throughout the United States and Canada and generated approximately $1 billion in revenue during 2025. The company has more than 65 years of experience supplying highly engineered valves and flow control solutions to industrial markets, including chemical processing, refining, power generation, semiconductor manufacturing, pharmaceutical production and data centers.

The acquisition also strengthens Ferguson's presence in maintenance, repair and operations (MRO), adding a business with significant recurring service and replacement revenue.

Expanding Technical Capabilities

"FloWorks strengthens our leading position in high-growth industrial end markets, while adding meaningful capabilities and geographic coverage which we can leverage across our non-residential customer groups," said Kevin Murphy, CEO of Ferguson. "Their expert teams, technical capabilities and strong OEM brands will further enhance our ability to provide essential water solutions for the specialized professional. We welcome their associates to Ferguson and look forward to our next chapter of growth together."

"Joining Ferguson ensures our 65+ year legacy continues with a partner that shares our commitment to customer service and operational excellence," said Scott Jackson, CEO of FloWorks. "Ferguson's scaled platform and capabilities will empower our associates to better serve our customers. This marks an exciting next chapter in FloWorks' history and provides a great home for our associates."

Transaction Expected to Close in Third Quarter

Ferguson expects to remain within its target net debt-to-adjusted EBITDA range following the acquisition. The company also anticipates approximately $45 million in expected synergies as the organizations are integrated.

The transaction is expected to close during the third quarter of 2026, subject to customary closing conditions and regulatory approvals.

Note: certain information included in this announcement is forward-looking, including within the meaning of the Private Securities Litigation Reform Act of 1995, and involves risks, assumptions and uncertainties that could cause actual results to differ materially from those expressed or implied by forward-looking statements.