Distribution Solutions Group, Inc.

Distribution Solutions Group, Inc. (DSG) announced the consummation of its acquisition of GradeEight Holdings, LLC for $145 million. The acquisition, which includes the Winzer Corporation and FastServ Supply brands, was funded through existing cash and borrowings under DSG's revolving credit facility. The company also provided an update on a separate merger agreement with Eclipse Parent Acquisitions, LLC, which is expected to take DSG private upon completion, subject to stockholder approval.

Distribution Solutions Group reported a strong second quarter for 2026, with revenue increasing by 11.0% to $557.7 million and net income surging by 69.8% to $8.5 million compared to the same period last year. Basic earnings per share also saw a significant rise to $0.18. The company completed the acquisition of Eastern Valve & Control Specialties Ltd. for $16.5 million in March 2026, expanding its Canadian market presence. However, net cash provided by operating activities for the six-month period significantly decreased to $1.6 million from $28.5 million. The filing also highlighted risks associated with a proposed merger, which is a key strategic event for the company.

Distribution Solutions Group, Inc. announced its second quarter 2026 results and a definitive merger agreement. LKCM Headwater Investments, which already owns approximately 79% of the company, will acquire all remaining outstanding shares for $35.00 per share in cash. This represents an 81% premium to the share price before the initial proposal. For Q2 2026, DSG reported revenue of $557.7 million, an 11.0% increase year-over-year, and net income of $8.5 million, up 69.8% from the prior year.

Distribution Solutions Group (DSG) has entered into a definitive merger agreement to be taken private by affiliates of LKCM Headwater Investments for $35.00 per share in cash. This price represents an 81% premium over the company's closing share price on March 13, 2026, and an increase of $5.50 from the initial proposal. Upon completion of the transaction, DSG will become a privately held company, and its common stock will no longer be listed on Nasdaq. The deal was unanimously recommended by a Special Committee of disinterested directors and subsequently approved by the Board.

Distribution Solutions Group, Inc. (DSGR) reported Q1 2026 revenue of $496.0 million, a 3.8% increase year-over-year. However, net income significantly decreased to $0.38 million from $3.26 million in Q1 2025, with diluted EPS falling to $0.01 from $0.07. During the quarter, DSGR acquired Eastern Valve & Control Specialties Ltd. for $16.2 million, expanding its Canadian market footprint. The company also saw increased cash usage in operating and investing activities.

Distribution Solutions Group, Inc. announced its first quarter 2026 results, reporting a 3.8% year-over-year revenue increase to $496.0 million, driven by 3.6% organic sales growth. While profitability metrics like net income ($0.4 million) and diluted EPS ($0.01) saw significant year-over-year declines, the company noted sequential improvements in profitability and adjusted EBITDA margin. DSG also completed the acquisition of Eastern Valve & Control Specialties Ltd. during the quarter, contributing $0.8 million in revenue.