Atmus Filtration to acquire Koch Filter Corporation for $450M in cash

Atmus Filtration (ATMU) Technologies entered into a definitive agreement to acquire Koch Filter Corporation from Air Distribution Technologies, a portfolio company of Truelink Capital, for $450M in cash, subject to customary adjustments. Koch Filter generated $156M in revenue in the 2025 fiscal year ended September 30, 2025. The transaction is expected to be accretive to Atmus’ Adjusted EPS and Adjusted EBITDA margin in 2026 and achieve high-single-digit ROIC by 2028. The purchase price represents a 13.9x multiple based on Koch Filter’s Adjusted EBITDA for the 2025 fiscal year ended September 30, 2025. When adjusted for the present value of expected tax benefits, the net transaction value is approximately $395M, a 10.9x multiple after adjusting for tax benefits and cost synergies. Koch Filter’s comprehensive portfolio spans a wide range of filters, including HVAC, HEPA, carbon, and specialty filtration systems, all engineered to improve indoor air quality and optimize system performance. With a focus on reliability and customer service, Koch Filter provides products and expertise that help protect people, equipment and environments from airborne contaminants. Koch Filter, which was founded in 1966, is headquartered in Louisville, Kentucky and operates from sites across the U.S. The transaction is expected to be funded through a combination of cash on hand and borrowings under Atmus’ credit facility, including through a potential upsize of that credit facility. It is expected to close in the first quarter of 2026, subject to the satisfaction or waiver of customary closing conditions.