Distribution Solutions Group has agreed to be taken private by its controlling shareholder, LKCM Headwater Investments, four years after DSG was assembled as a publicly traded specialty distribution platform.

LKCM currently owns approximately 79% of DSG’s common stock, and will acquire all outstanding shares for $35 per share in cash. Upon completion, DSG will become wholly owned by LKCM and its affiliates, and its shares will no longer trade on Nasdaq.

The agreement values DSG at approximately $2.4 billion, with LKCM expected to pay roughly $500 million for the remaining stake it does not already own.

DSG formed in April 2022 through the combination of Lawson Products, Gexpro Services and TestEquity, spanning MRO supplies, OEM supply-chain services and industrial technology products.

The platform generated $1.98 billion in 2025 revenue, up 9.8%, with acquisitions accounting for most of the increase. Organic sales rose 3.6%, though adjusted EBITDA margin declined to 8.9% from 9.7% a year earlier.

Fort Worth, TX-based DSG distributes fasteners and other products to the MROs and OEMs in the industrial technologies markets. DSG was formed in 2022 through the combination of Lawson Products, Gexpro Services, a global supply chain services provider to manufacturing customers, and electronic test & measurement solutions provider TestEquity.

DSG serves 190,000 customers supported by 4,300 employees. DSG ships to customers in North America, Europe, Asia, South America and the Middle East.