CSW Industrials

CSW

Market cap $4.13B

Transaction follows significant operational transformation of MARS under Platinum Equity ownership MARS to continue investing in growth of equipment business LOS ANGELES , Oct. 1, 2025 /PRNewswire/ -- Platinum Equity portfolio company Motors & Armatures (MARS) today announced it has signed a definitive agreement to sell its parts division ("MARS Parts") to CSW Industrials, Inc. (NYSE: CSW) for $650 million in cash, subject to customary closing adjustments. The transaction also includes an earn-out valued at up to $20 million based on the achievement of revenue targets in the year after closing.

Motors & Armatures Parts Acquisition Highlights Expands CSW's existing product portfolio in the profitable heating, ventilation, air conditioning, and refrigeration (HVAC/R) end market with the addition of motors, capacitors, other HVAC/R electrical components and equipment installation offerings as well as other components used by the pro trades for HVAC/R repairs and replacements Aligns with previously established acquisition criteria to leverage existing distribution channels, invest in the profitable HVAC/R end market, expand products offerings, and grow share of wallet with our existing customers Valuation represents approximately 10.5x identified synergies-adjusted Trailing Twelve Month (TTM) EBITDA or approximately 12.5x TTM adjusted EBITDA at close Expected to be immediately accretive to CSW's EPS and EBITDA, with an expected run rate EBITDA margin from the acquired business of at least 30% within 12 months of closing, well above the consolidated CSW EBITDA margin Transaction structure allows CSW to maintain ample liquidity to continue executing on growth strategy With this acquisition, CSW will have invested over $1.65 billion in acquisitions in its ten years as a stand-alone public company, including approximately $1 billion within the last year DALLAS, Oct. 01, 2025 (GLOBE NEWSWIRE) -- CSW Industrials, Inc. (NYSE: CSW) announced today the execution of a definitive agreement under which CSW will acquire Motors & Armatures Parts (“MARS Parts”) for $650 million in cash, subject to customary closing adjustments. The transaction also includes an earn-out to pay up to $20 million based on the achievement of revenue targets in the year after closing.

FUTU, LRN, CSW, AEM and ELMD have been added to the Zacks Rank #1 (Strong Buy) List on September 26, 2025.

ATEYY, CSW, ZBRA, VRT and UL have been added to the Zacks Rank #1 (Strong Buy) List on September 18, 2025.

FUTU, SITE, CSW, ATRO and SOLV have been added to the Zacks Rank #1 (Strong Buy) List on September 16, 2025.

I rate CSW Industrials as a buy due to the hidden long-term drivers not considered by the market. CSW Industrials is a rare combination of being mid-cap size and having business quality with long-term growth prospects. The company serves niche segments, which give it pricing power, coupled with a competent and well-incentivized CEO to overcome unexpected situations like the tariffs.

CSW Industrials (CSW) is well positioned to outperform the market, as it exhibits above-average growth in financials.

WOOF, CSW, GTES, EQBK and KT have been added to the Zacks Rank #1 (Strong Buy) List on September 5, 2025.

TDW, JRVR, HALO, SCSC and CSW have been added to the Zacks Rank #1 (Strong Buy) List on September 3, 2025.

DALLAS, Aug. 28, 2025 (GLOBE NEWSWIRE) -- CSW Industrials, Inc. (the “Company) (NYSE: CSW) today announced Robert Swartz has retired from the Board of Directors effective immediately following the conclusion of the 2025 Annual Meeting, consistent with the Company's prior public disclosures. Mr. Swartz's retirement comes following his reaching the mandatory retirement age under the Company's Corporate Governance Guidelines earlier this year. Following Mr. Swartz's retirement, the independent members of the Board of Directors unanimously appointed continuing Board member Linda Livingstone, Ph.D., as the Board's Lead Independent Director, demonstrating and reinforcing the Board's focus on thoughtful leadership succession planning.