Issue link: http://deals.uberflip.com/i/1485860
Available for Acquisition Premium Quality Piping & Flow Control Equipment Distributor Located in Southern US #64891 Sign NDA ► 2022 Revenue Est. 6,500,000 2022 EBITDA Est. 680,000 DISCLAIMER: All information contained in this document has been provided by the subject company to Generational Equity and while believed to be correct has not been verified. Accordingly, Generational Equity makes no representations or warranties as to the accuracy and truthfulness of such information. The recipient hereof acknowledges that Generational Equity shall not be liable for any loss or injury suffered by said recipient in any way connected to the delivery by Generational Equity of this document. At all times Generational Equity and its affiliate network members is an agent for the seller and not for the buyer. Generational Equity's fees are paid by the seller. Nydia Blanco Vice President, M&A Email: nblanco@generational.com Office: 832-730-5987 Generational Group 3400 N. Central Expressway, Ste. 100 Richardson, TX 75080 Fax: 972-392-8564 BUSINESS HIGHLIGHTS The Company is a rapidly growing distributor of piping, fittings, and flow control equipment primarily serving petrochemical manufacturing customers. The Company offers an array of industrial pipes, tubing, fittings, accessories, and other related flow control products. Success continues to grow because of its outstanding reputation, high quality products, efficient turnaround, and commitment to customer service. INVESTMENT BANK OF THE YEAR 2016 - 2017 - 2018 Company Facts Founder Owned Limited Liability Co 5,300 sq ft –Shareholder owned facility • Strong Historical Sales Growth: Sales grew at a Compound Annual Growth Rate (CAGR) of 12.6% during the historical period, including Covid-affected year 2020. Even excluding a larger project-driven sale in 2019 (approximately $2 million), underlying sales growth reflected 9% in 2019 and 16% in 2020. • Strong Client Relationships: Many long-term customers have relationships extending 10 to 20 years or longer. • Gross Profit Percentage is Above Industry Benchmarks: Pretax margins of 11.2% are higher than general industry peer averages of 5.3%, reflecting both pricing and operational efficiencies in the company's business model. • Not Highly-Dependent on Current Ownership: The Company has a highly-qualified and reliable team and can run efficiently even when ownership is away. GROWTH OPPORTUNITY Complementary Products Develop Sales/Marketing Geographic Expansion INVESTMENT APPEAL 25+ year history Instrument Fittings 19% Clamps, Trays & Others 2% Process Values 10% Instrument Valves 8% Gauges & Regulators 6% Tubing 30% Pipes 7% Pipe Fittings 18% 6.7 M 5.4 M 6.0 M 6.5 M 7.0 M 7.4 M 0.90 M 0.58 M 0.62 M 0.68 M 0.74 M 0.79 M 13.5% 10.6% 10.3% 10.5% 10.6% 10.6% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 0.0 M 1.0 M 2.0 M 3.0 M 4.0 M 5.0 M 6.0 M 7.0 M 8.0 M 2019 2020 2021 2022e 2023e 2024e Sales EBITDA EBITDA Margins