CSW Industrials Deploys $40 Million of Acquisition Capital in Profitable Plumbing End Market

Investment Highlights - CSW Industrials, Inc. announced a strategic acquisition of PF Waterworks, LP for $40 million, focusing on innovative, eco-friendly drain management solutions [1][2] - The acquisition is valued at approximately 9.5 times PF Waterworks' trailing twelve-month EBITDA, indicating a strong financial positioning [1][3] - This acquisition is expected to be accretive to earnings per share in the first full year of ownership, reflecting positive financial implications for the company [1] Company Strategy - The acquisition aligns with CSW Industrials' commitment to allocate capital based on risk-adjusted returns, enhancing its portfolio with innovative products [1][2] - The addition of PF Waterworks is seen as synergistic within the existing plumbing end market, providing opportunities for expansion and market share gains [2] - The company has made a cumulative acquisition capital investment of $695 million since going public in October 2015, demonstrating a consistent growth strategy [1] Product Offering - PF Waterworks specializes in developing and manufacturing plumbing products that emphasize 'Clean and Green' solutions for both residential and commercial applications [2] - The technology used in PF Waterworks' products is certified for public health and safety, ensuring reliable performance and promoting self-sufficiency for various stakeholders [2]