Why We're Focused on Specialty Distribution
Specialty Distribution platforms that provide significant value-add into mission critical services create recurring, long-term and highly profitable relationships into growing end-markets.
Subsectors of Interest
- Electronic Components
- Industrial Consumables (fasteners, seals, adhesives, etc.)
- Safety Products
- Valves and Pumps
Industry Merits
- Mission-Critical Low-cost, high-importance services with high cost-of-failure risk enable recurring, predictable revenue and strong customer loyalty
- Fragmented Market Thousands of niche players create significant consolidation opportunities
- Resilient Category Essential products with consistent performance across cycles
- Value-Added Expertise Distributors often offer technical knowledge and custom solutions or services
Target Business Characteristics
REVENUE
$
10
M+
EBITDA
$
3
M
–
$
15
M
- Demonstrated value-added product or service beyond basic distribution
- VMI offering
- Technical sales or product expertise
- Private label or custom product capabilities
- Added services such as training, certification, or inspection
- Tech-enabled sales channels, including e-commerce potential