ADDISON, Ill.—SunSource Holdings Inc. completed a definitive agreement to acquire United Distribution Group Inc., a distributor of fluid conveyance in the energy, mining and industrial markets.
The terms of the acquisition, which is expected to close in August, were not disclosed, according to a SunSource release.
The acquisition will strengthen the company's position in the marketplace, benefiting from increased scale and organic and inorganic growth opportunities, SunSource CEO David Sacher said in a statement. UDG's businesses are highly complementary to SunSource's existing business and product portfolio.
UDG, with more than 140,000 SKUs, operates through two subsidiaries. GHX Industrial is a distributor of fluid conveyance and sealing products serving upstream and downstream energy and diversified markets. United Central Industrial Supply is a provider of maintenance, repair and operations supplies to underground and surface mining sites in North America. UDG also offers custom fabrication and in-house welding, according to the release.
SunSource obtained committed financing for the transaction from Barclays, Credit Suisse and Deutsche Bank A.G. Barclays acted as financial advisor and Debevoise & Plimpton acted as legal advisor to SunSource. Baird served as financial advisor and Akin Gump Strauss Hauer & Field L.L.P. was legal advisor to UDG.