Wynnchurch Capital, L.P. has entered into a definitive agreement to sell FWI Holdings, Inc., operating as FloWorks, to Ferguson Enterprises, Inc. (NYSE: FERG) in an all-cash transaction valued at approximately $1.6 billion in enterprise value, according to a press release from Wynnchurch.

FloWorks is a specialty distributor of flow control products and technical solutions for maintenance, repair, and operations applications, serving customers in chemicals, downstream refining, renewables, and other industrial markets. The company is headquartered in Houston, Texas.

Wynnchurch acquired FloWorks in January 2023. During its ownership, FloWorks completed seven add-on acquisitions and grew to generate more than $1 billion in annual revenue. Clearlake Capital Group, L.P. retained a minority ownership interest following the 2023 transaction.

Greg Gleason, Managing Partner at Wynnchurch, said the firm "executed a strategy combining strategic acquisitions with operational value creation and commercial excellence that strengthened the business and positioned FloWorks for continued long-term growth."

Scott Jackson, CEO of FloWorks, said the company is "excited to join Ferguson alongside the entire FloWorks team as we continue building on that momentum."

Jefferies LLC served as lead financial advisor to FloWorks, with Solomon Partners also acting as financial advisor. Foley & Lardner LLP provided legal counsel to Wynnchurch and FloWorks.