KKR and Neuberger Private Markets announced a joint acquisition of Flow Control Group (FCG), a North American distributor of technical flow control and industrial automation solutions. The deal gives KKR majority ownership while Neuberger will hold a significant minority stake, a structure that reflects KKR’s ongoing partnership with the company and Neuberger’s expertise in private‑market investments.
Flow Control Group, founded in 2014, was acquired by KKR in 2021 and has since tripled its revenue and EBITDA. The distributor serves a broad range of industries—including water and wastewater, life sciences, aerospace and defense, food and beverage, power generation, data centers, and advanced automation—and employs more than 3,000 people, including over 1,000 technical sales professionals and 600 service technicians.
The transaction underscores KKR’s strategy of operational value creation and long‑term partnership. KKR’s employee‑ownership program, implemented in 2021, is being re‑established as part of the deal, with cash payouts to more than 3,000 employees. Neuberger’s role is to provide additional capital and strategic support, leveraging its $155 billion of investor commitments to accelerate growth and expand technical service capabilities.
"Flow Control Group exemplifies KKR's approach of taking great businesses to the next level through a combination of strategic acquisitions and operational value creation. We are proud of the progress achieved to date and look forward to strategically partnering with Neuberger's Private Markets team, FCG's management team, and the many highly engaged employee‑owners to support the Company's next phase of growth," said Josh Weisenbeck, Partner at KKR.
"KKR has played a critical role in supporting our growth, and we are excited to welcome Neuberger as we continue to expand our capabilities, invest in our team, and pursue new opportunities across our markets," added Raymond Aronoff, CEO and President of Flow Control Group.
"The firm had 'followed Flow Control Group's evolution over the past decade' and viewed the platform as 'a best‑in‑class distributor and key technical provider for its customers in industries benefiting from favorable tailwinds,'" noted David Stonberg, Deputy Head of Neuberger Private Markets.
The transaction is expected to close in the second quarter of 2026, subject to customary regulatory approvals and other closing conditions. The deal expands KKR’s footprint in the industrial automation sector and positions Flow Control Group to capitalize on growing demand for advanced flow control and automation solutions across its key markets.
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