mynth
11/2024

HYDRADYNE acquired by APPLIED TECHNICAL SERVICES (ATS)

UNITED STATES Industrial Services / Industrial & Technical Distribution EV 300M - 700M USD

Context

Applied Industrial Technologies has successfully entered into a definitive agreement to acquire 100% of Hydradyne, a move that represents a major step in the expansion of its Engineered Solutions segment. This strategic transaction significantly enhances the group's operational footprint within the growing Southeastern United States market, integrating 33 specialized locations and a highly skilled technical workforce. The strategic rationale for the acquisition centers on combining the group’s global distribution power with the target’s deep expertise in fluid power system design and fabrication. By incorporating this high-performing technical platform, the group bolsters its value proposition across motion, flow control, and automation technologies. The partnership is designed to accelerate market penetration and drive significant cross-selling opportunities among a shared base of blue-chip industrial and commercial clients. Furthermore, the integration allows the group to capitalize on secular demand trends related to equipment modernization, reshoring, and industrial electrification. This transaction reinforces the group’s standing as a primary consolidator in the North American fluid power landscape, ensuring long-term technical durability and operational caliber for its global stakeholders.

HYDRADYNE, which reported an EBITDA margin of in 2024, is valued in this transaction at an EV/EBITDA multiple of , representing a to the average currently observed in the Business Services sector (11.4x).

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Target

Hydradyne is a specialized industrial organization that operates as a premier provider of fluid power solutions and advanced motion control systems. The entity’s business model is built on an integrated service framework, combining the distribution of high-performance components with in-house technical capabilities including system design, fabrication, assembly, and maintenance. Its value proposition is centered on providing mission-critical support for both stationary and mobile equipment, serving a balanced mix of Original Equipment Manufacturers (OEM) and Maintenance, Repair, and Operations (MRO) clients. Strategically, the firm focuses on the high-growth Southeastern United States, maintaining a dense network of operational centers to ensure localized technical agility. By offering multidisciplinary expertise across hydraulics, pneumatics, and electromechanical systems, the organization facilitates the operational efficiency of complex industrial and commercial infrastructures. The firm prioritizes technical innovation in power management and fluid conveyance to support modern industrial workflows.

Ent. Value

Equity Value

Multiples

EV / Revenue

EV / EBITDA

EV / EBIT

Historical Financials (USD)

Year
Rev
EBITDA
EBIT
2024
2023

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REFERENCES

Valuation range: EV 300M - 700M USD

Revenue range: 250M - 500M USD

EBITDA range: 25M - 50M USD

Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of HYDRADYNE by APPLIED TECHNICAL SERVICES (ATS) are reserved for mynth community members. Register for free to unlock full data.

Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.

Target: hydradyne

Acquirer: applied technical services (ats)