Distribution Solutions Group, Inc. (DSG) announced on October 12, 2026, that its subsidiary, Lawson Products, Inc., has entered into a definitive agreement to acquire GradeEight Holdings, LLC. The transaction, valued at approximately $145 million, will be executed through a merger of GradeEight Merger Sub, LLC with and into GradeEight, with GradeEight continuing as the surviving entity.
GradeEight Holdings operates through two primary business segments: Winzer Corporation and FastServ Supply. Winzer is an MRO distribution platform utilizing a network of over 270 franchisees across all 50 states, Puerto Rico, Mexico, and Canada. The company generated approximately $110 million in annual sales and employs approximately 190 associates. In addition to its distribution operations, GradeEight owns FastServ Supply, a brick-and-mortar retail chain with eight locations in Texas and Arkansas.
The acquisition is expected to be accretive to DSG’s Adjusted EBITDA margins. DSG plans to fund the purchase price using borrowings under its existing $400 million revolving credit facility and available cash. The transaction is not subject to any financing conditions and is anticipated to close in the fourth quarter of 2026, subject to customary closing conditions.
In related news, DSG disclosed on July 15, 2026, that it entered into a Merger Agreement with Eclipse Parent Acquisitions, LLC. This agreement, involving LKCM Headwater Investments, LLC and DSG’s CEO J. Bryan King, outlines a plan for DSG to become a privately held company. The deal requires approval from DSG’s stockholders and is subject to standard closing conditions.
