Distribution merger and acquisition volume roared past 2023’s first-half pace, defying forecasts that pointed toward a slowdown in 2024. The first six months produced 169 tracked deals, a 28-per-month average that tops the 150 transactions recorded during the same stretch last year.
Forecasters had braced for a muted year. Softening industrial demand that began in late 2023, paired with election-year uncertainty, suggested buyers might sit on the sidelines. Instead, deal flow accelerated.
June alone delivered 29 announced or completed transactions involving at least one distributor. While that figure fell short of May’s 40 deals, the busiest month since tracking began in 2023, it still landed squarely on the year’s monthly average. Total M&A news items reached 41 for June when manufacturers, service providers, and trade associations entered the mix.
Heavyweights dominated the action. MSC Industrial Supply, Winsupply, and White Cap each closed two acquisitions during the month. Meanwhile, The Home Depot completed its $18.25 billion purchase of SRS Distribution fewer than three months after first disclosing the deal.
Among the notable distributor moves, TruckPro’s Crane Carrier Canada subsidiary expanded into Toronto through Transaxle Parts. Bunzl picked up Canadian cleaning products distributor Clean Spot. Aeromed Group deepened its aerospace footprint with two buys: Aerospace Products International in Memphis and HB Aerospace in Phoenix.
Wesco International paid $30 million for entroCIM, a data center and building intelligence software provider. Winsupply added Forge PolyFab and General Metals Manufacturing Supply, while White Cap acquired Rebar Solutions and Dayton Superior Corp.
On the manufacturing side, Honeywell moved further into defense technology with CAES Systems Holdings. Ingersoll Rand closed its $2.3 billion ILC Dover acquisition and snapped up three additional manufacturers for roughly $150 million combined.
Meanwhile, buying groups AD and IMARK Electrical unveiled plans to merge, forming a new AD division spanning 725 distributors. Freight brokerage platform RXO agreed to pay $1 billion for UPS’ Coyote Logistics.
With half the year remaining, the distribution M&A market shows no signs of cooling.
