Ferguson reaches $1.6 billion deal to acquire FloWorks

North American plumbing and heating, ventilation and air conditioning (HVAC) distributor Ferguson Enterprises Inc. announced that it would acquire FWI Holdings Inc. , also known as FloWorks. The deal, valued at $1. 6 billion, would bring FloWorks’ valve and control systems business to Ferguson from its current home under owner Wynnchurch Capital L. P.

Ferguson, which is headquartered in Newport News, Virginia, framed the acquisition as expanding Ferguson’s total addressable market to $400 billion. In doing so, Ferguson expects to see FloWorks bolster reach into markets such as data centers, semiconductors, power generation and pharmaceuticals.

Why Ferguson is acquiring FloWorks “FloWorks strengthens our leading position in high-growth industrial end markets, while adding meaningful capabilities and geographic coverage which we can leverage across our non-residential customer groups,” said Kevin Murphy, CEO of Ferguson.

“Their expert teams, technical capabilities and strong OEM brands will further enhance our ability to provide essential water solutions for the specialized professional.” Ferguson assessed that Houston-based FloWorks took in $1 billion in 2025 revenues.

FloWorks’ history dates back more than 65 years, as it has expanded across more than 60 locations to serve customers in the United States and Canada. Ferguson specifically noted that FloWorks would help the new parent company’s specialty industrial flow control platform, resulting in new recurring revenue.

FlowWorks’ operations “Joining Ferguson ensures our 65+ year legacy continues with a partner that shares our commitment to customer service and operational excellence,” said Scott Jackson, CEO at FloWorks. “Ferguson’s scaled platform and capabilities will empower our associates to better serve our customers.”

FloWorks characterizes its customers as “highly technical industries including chemicals, refining, power generation, semiconductors, pharmaceuticals and datacenters.” Its teams include 1,000 associates, along with 25 service and repair centers and 15 portfolio brands, according to Ferguson.

The companies expect to see the deal close sometime in the third quarter of 2026. Other recent acquisitions at Ferguson Acquisitions play a significant role in Ferguson’s growth plans in 2026.

During the distributor’s May earnings call, Murphy said the company had “closed on three acquisitions and signed definitive purchase agreements on three more since the beginning of the year.” Murphy reported during the call that Ferguson’s sales reached $7. 5 billion in its fiscal first quarter ended March 31, up 3. 6% from a year earlier.

He credited “organic growth of 2. 8% and acquisition growth of 0. 8%” for that success. Acquisitions in Q1 included Technology Sales Associates and Chesapeake Environmental Equipment, with Carrier Great Lakes following after the quarter’s end.

Carrier Great Lakes joined Ferguson’s HVAC group, where deals were also reached to acquire Dealers Supply Company and New England Applied Products. Ferguson also signed a deal to acquire PRD Technologies Group.

“The aggregate annual revenue impact of these six acquisitions is approximately $350 million,” said Bill Brundage, chief financial officer, treasurer and director at Ferguson, in May. Sign up Sign up for a complimentary subscription to Digital Commerce 360 B2B News. It covers technology and business trends in the growing B2B ecommerce industry.

Follow us on LinkedIn, X (formerly Twitter), Facebook and YouTube. Favorite