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CSW Industrials Deploys $25.8 Million of Investment Capital in Contractor Solutions Segment
Globenewswire· 2026-03-12 12:30
Core Insights - CSW Industrials, Inc. announced the strategic acquisition of Duckt-Strip®, enhancing its Contractor Solutions segment and expanding its HVAC/R ductless application offerings [2][3] - The acquisition is valued at approximately $21 million, representing a multiple of 7.0x Duckt-Strip's trailing twelve-month adjusted EBITDA, aligning with CSW's disciplined capital allocation strategy [4] - CSW also made a $4.8 million minority investment in Flair, reflecting its commitment to the HVAC/R technology sector and innovation [2][5] Acquisition Details - Duckt-Strip is a differentiated electrical cable solution designed for HVAC mini-split installations, featuring Rip-n-Strip™ technology that integrates all required conductors into a single cable [3] - The acquisition is expected to leverage CSW's national distribution platform to accelerate growth and improve service levels in the HVAC market [3][4] - CSW has been a master distributor of Duckt-Strip since September 2022, which positions the company to enhance market reach and drive margin improvements [3] Investment Strategy - The acquisition and investment in Flair are part of CSW's broader strategy to deploy capital into high-growth segments within the HVAC/R space [3][5] - CSW's cumulative acquisition capital investment for fiscal year 2026 exceeds $1 billion, demonstrating a consistent approach to capital allocation [6]