Distribution Solutions Group has acquired South Florida-based American Fasteners Corp., adding a fastener and industrial supply distributor with approximately $39 million in annual revenue to its Lawson Products business.

Fort Worth, TX-based DSG announced the deal Sept. 2. Financial terms weren’t disclosed. The acquisition was funded with existing cash and availability under DSG’s amended credit agreement.

Founded in 1981, American Fasteners distributes fasteners, power tools, anchors, cutting tools, adhesives, abrasives, sealants, safety products and other industrial supplies. The company operates locations in Miami, Cutler Bay and Lake Worth, FL, and also exports products throughout Latin America and the Caribbean.

American Fasteners serves more than 11,000 customers and is the region’s largest Milwaukee Tool dealer, according to DSG.

DSG said the acquisition expands its customer base and geographic reach in South Florida while adding export exposure. The company expects American Fasteners to be accretive to its EBITDA margin profile.

“This acquisition is a natural extension of our strategy to build scale in MRO through high-quality businesses that expand our capabilities, customer relationships and geographic reach,” DSG Chairman and CEO J. Bryan King said.

The deal continues an active 2026 for DSG on the M&A front. Earlier this year, the company acquired Newfoundland-based Eastern Valve & Control Specialties — a provider of industrial valves, instrumentation, actuation and related services with approximately CAD$17 million in annual revenue. That business joined DSG’s Source Atlantic operations.

Meanwhile, DSG is in the process of becoming privately held. In July, controlling shareholder LKCM Headwater Investments reached a deal to acquire the DSG shares it doesn’t already own for $35 per share in cash. LKCM and its affiliates already own approximately 79% of DSG.

The transaction is expected to result in DSG becoming wholly owned by LKCM and ending its Nasdaq listing.

DSG entered that pending take-private agreement amid strong operating momentum. The distributor reported 2Q26 sales of $558 million, up 11.0% year-over-year, including 10.2% organic growth. DSG’s annual sales reached $2 billion in 2025.

MDM Analysis

DSG’s acquisition pace in 2026 follows two M&A-oriented moves it made late last year.

In November 2025, DSG appointed former BlueLinx executive Sean Dwyer to lead its M&A and strategy efforts, putting an executive with extensive transaction experience in charge of its acquisition pipeline.

A month later, DSG expanded its revolving credit facility by $255 million to $400 million, while increasing its uncommitted accordion feature to $500 million. DSG said at the time that the added capacity would provide greater flexibility to pursue organic and inorganic growth.

The Eastern Valve and American Fasteners deals show DSG putting that groundwork to use. And there is little reason to expect its acquisition appetite to diminish once the LKCM transaction closes. Private ownership under an investor already deeply aligned with DSG’s consolidation strategy could give the company even greater latitude to pursue bolt-on acquisitions without the same public-market considerations.

With dedicated M&A leadership, expanded borrowing capacity and an owner committed to the company’s long-term growth strategy, DSG appears positioned to remain an aggressive consolidator.