RWC buys EZ-FLO
Reliance Worldwide Corporation Limited (RWC) plumbing systems firm reported it has entered into an unconditional agreement to acquire all the issued shares of EZ-FLO International, Inc., for $325 million.
EZ-FLO is a manufacturer and distributor of plumbing supplies including plumbing specialty products, appliance supply lines, flexible water connectors, gas connectors and other accessories.
The acquisition price reflects a 7 times pro-forma adjusted EBITDA that included expected revenue and cost synergies, the company noted.
The business is being acquired from interests associated with EZ-FLO’s founder Saleem Lahlouh.
Established in 1980, EZ-FLO has grown rapidly by expanding its product range. In 2000, EZ-FLO acquired the EASTMAN brand in large appliance connectors in the U.S.
“The EASTMAN brand will immediately position RWC as a leader in supporting all those who service major appliance installations including plumbed appliances, gas, hot water, and dryer venting,” the firm wrote.
RWC, with a family of plumbing, heating and smart home brands such as SharkBite, Speedfit and Reliance valves, was founded in 1949 in Australia. The firm serves 60 countries worldwide, employing 2,000 people, it noted.