WOKINGHAM, England - January 9, 2024 - Ferguson plc (NYSE: FERG; LSE: FERG) has signed definitive purchase agreements to acquire Yorkwest Plumbing Supply Inc. and Grove Supply, Inc., and closed on the acquisition of Harway Appliances. These acquisitions have aggregate annualized revenues of approximately $220 million.
Yorkwest Plumbing Supply Inc.
Yorkwest is a leading distributor of plumbing, municipal, hydronics, institutional, HVAC and industrial products in the greater Toronto area. Each of Yorkwest’s four locations includes a kitchen and bath showroom branded as Atlantis Bath Centre. Yorkwest’s business operations will be integrated into Ferguson’s subsidiary in Canada, Wolseley Canada.
Grove Supply, Inc.
Founded in 1948 and headquartered north of Philadelphia, PA, Grove Supply is a plumbing and HVAC distributor that serves the residential trade, builder and remodel markets. Grove Supply has 17 locations across Pennsylvania and New Jersey, and six of the locations include showrooms that operate as GSI Bath Showplace. This acquisition expands our plumbing and HVAC presence in Metro Philadelphia and will allow us to better serve local dual-trade professionals.
Harway is a premier distributor of high-end kitchen appliances for homeowners, custom home builders and designers in Austin, TX. This acquisition strengthens our showroom presence in one of the fastest-growing markets in the country and offers an opportunity for further expansion into the plumbing and lighting categories. It also grows our delivery and installation capabilities in Austin through Harway’s network of both in-house and third-party delivery and installation teams.
The acquisition of Harway Appliances closed on Jan. 8. The Yorkwest and Grove Supply acquisitions are expected to close in the next 90 days, subject to customary closing conditions including regulatory clearance of the Yorkwest acquisition.
“As we acquire new businesses, we place tremendous value on the expertise of the talented associates and the customer relationships they bring to the business,” said Ferguson CEO Kevin Murphy. “Our strategy remains twofold: prioritizing organic growth and consolidating fragmented markets through acquisitions that align well with our culture and values.”
Ferguson has a proven track record of successful acquisitions and has completed more than 50 acquisitions in the last five years. The large, fragmented markets in which Ferguson operates comprise 10,000+ small to medium ($10-300 million revenue) independent companies across Ferguson’s nine customer groups in North America.