Pentair to acquire Hydra-Stop for ~$290M in cash

Pentair (PNR) announced it has entered into a definitive agreement to acquire Hydra-Stop, a provider of specialty valve solutions, for approximately $290M in cash, subject to customary adjustments, from Madison Industries. When adjusted for approximately $50M of expected tax benefits, the net transaction value is approximately $240M. Hydra-Stop employs more than 50 team members and operates in Burr Ridge, Ill. With approximately 99% of sales in the United States, Hydra-Stop is expected to generate approximately $50M in revenue in full year 2025 with an expected Return on Sales of approximately 30%. Upon closing of this transaction, Pentair plans to have Hydra-Stop operate within its Commercial and Infrastructure business unit of the Pentair Flow business segment. The acquisition is anticipated to be completed by the end of 2025, subject to customary closing conditions, including necessary regulatory approvals.