- CSW Industrials, Inc. has entered into a definitive agreement to acquire **Motors & Armatures Parts (MARS Parts)** for **$650 million in cash**, with a potential earn-out of up to **$20 million**.  **[1624794_0001193125-25-226016_d46003dex991.htm:0]** 
- The acquisition is expected to expand CSW's product portfolio in the **HVAC/R end market** and be **immediately accretive to CSW’s EPS and EBITDA**.  **[1624794_0001193125-25-226016_d46003dex991.htm:0]** 
- The transaction values MARS Parts at approximately **10.5x identified synergies-adjusted Trailing Twelve Month (TTM) EBITDA** or approximately **12.5x TTM adjusted EBITDA** based on an estimated **$51.8 million**.  **[1624794_0001193125-25-226016_d46003dex991.htm:0]** 
- CSW plans to fund the acquisition using a combination of a Syndicated Term Loan A and borrowings under its existing **$700 million revolving credit facility**, with closing anticipated in the **third quarter of CSW's 2026 fiscal year**.  **[1624794_0001193125-25-226016_d46003dex991.htm:0]**

CSW Industrials Announces Definitive Agreement to Acquire Motors & Armatures Parts

- **CSW Industrials (NYSE: CSW)** has signed a definitive agreement to acquire the parts division of Motors & Armatures (MARS Parts).  **[1624794_20251001NY87987:0]** 
- The acquisition is for **$650 million in cash**, with a potential earn-out of up to **$20 million** based on revenue targets.  **[1624794_20251001NY87987:0]** 
- MARS Parts specializes in the distribution of **HVAC/R parts, supplies, and equipment**, including motors, capacitors, and other components.  **[1624794_20251001NY87987:0]** 
- The transaction is expected to close before the end of **calendar year 2025**, pending regulatory approval and other conditions.  **[1624794_20251001NY87987:0]**

CSW INDUSTRIALS (CSW)