CISCO AIR SYSTEMS acquired by DXP ENTERPRISES
Context
DXP Enterprises has successfully finalized the acquisition of Cisco Air Systems, representing a pivotal expansion of its air compressor platform across the Western United States. This strategic transaction integrates a high-performing regional leader into the "One DXP" framework, specifically targeting the resilient industrial corridors of Northern California and Nevada. The strategic rationale for the move centers on the high degree of technical complementarity between the target’s specialized air handling expertise and the group’s existing dominant position in rotating equipment. By incorporating this technical specialist, the organization reinforces its ability to serve mission-critical end markets, notably the food and beverage and transportation sectors, which demand localized, high-tier service models. The partnership is designed to leverage the acquirer’s centralized procurement resources and massive distribution scale while utilizing the target’s exceptional sales expertise. This integration follows a series of recent acquisitions in the compressed air segment, following a disciplined plan to diversify end-market exposure and solidify a multidisciplinary industrial platform capable of providing comprehensive liquid and gas handling solutions.
By taking control of Cisco Air Systems, Dxp Enterprises continues its expansion strategy. Previously, the group had completed 2 acquisitions, including Premier Water in 2021.
CISCO AIR SYSTEMS, which reported an EBITDA margin of LOGIN in 2021, is valued in this transaction at an EV/EBITDA multiple of LOGIN, representing a LOGIN to the average currently observed in the Business Services sector (11.1x).
Note that this data is based on contribution from our growing community, composed of M&A and Private Equity professionals, and has been verified by our team to ensure its accuracy.
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Target
Cisco Air Systems is a high-expertise industrial distributor specializing in the design, engineering, and maintenance of compressed air systems. The entity’s business model is centered on a full-service life-cycle approach, providing mission-critical equipment and technical support to highly demanding sectors such as food and beverage, transportation, and general manufacturing. Its value proposition lies in its ability to deliver optimized energy efficiency and operational uptime through advanced air compressor technology and specialized field services. Strategically, the firm focuses on the Northern California and Nevada markets, acting as a regional technical leader that bridges the gap between major equipment manufacturers and end-industrial users. By integrating professionalized distribution with industrialized service capabilities, the organization facilitates structural operational durability for its diverse client base.
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Historical Financials (USD)
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REFERENCES
Valuation range: EV 50M - 150M USD
Revenue range: 25M - 50M USD
EBITDA range: 5M - 25M USD
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Authors: verified mynth contributor (mynth data is contributed by M&A / PE professionals and systematically cross-verified with private deal documents and official press releases).