Distribution Solutions Group Inc. is significantly broadening its market reach across both online channels and physical retail storefronts through a definitive agreement to acquire GradeEight Holdings LLC. The strategic transaction marks another major milestone for Distribution Solutions Group as it continues to scale its operations, enhance its technological infrastructure, and deepen its penetration within the lucrative maintenance, repair, and operations sector.

GradeEight operates as a prominent distributor of maintenance, repair, and operations (MRO) products through its specialized subsidiaries, Winzer Corporation and FastServ Supply. According to announcements made by the participating companies, GradeEight maintains an extensive operational network supported by approximately 270 independent franchisees operating across the United States. This robust franchisee model has allowed the company to cultivate a deeply loyal customer base while establishing a commanding presence in key regional markets and retail channels.

The acquisition arrives at a time when Distribution Solutions Group has been aggressively scaling its digital capabilities. Throughout 2025 and continuing into 2026, the company has prioritized investments in ecommerce infrastructure. Under the terms of the newly announced agreement, these ongoing digital enhancements will extend to incorporate the dedicated ecommerce websites and digital ordering platforms utilized by both Winzer Corporation and FastServ Supply. To execute the transaction, Distribution Solutions Group plans to fund the purchase using a strategic combination of available cash on hand and existing credit facilities.

Why Distribution Solutions Group is Acquiring Winzer and FastServ Supply

Industry leadership at Distribution Solutions Group views the acquisition as a powerful catalyst for growth, emphasizing the complementary nature of the businesses involved.

"GradeEight, through its Winzer and FastServ Supply businesses, has successfully built a differentiated on-site business with committed franchisees serving a loyal customer base and enjoying a strong market presence across the MRO market and retail channels," said J. Bryan King, chairman and chief executive officer at Distribution Solutions Group.

King highlighted that the strategic alignment of their operational capabilities and market coverage will substantially enhance the overarching Distribution Solutions Group platform. He noted that the integration will directly improve the company’s collective ability to serve industrial and commercial customers efficiently across key geographic regions.

Furthermore, King underscored the long-term value creation opportunities that the transaction unlocks for the newly acquired network.

"We are excited to invest in tools, products, and other growth opportunities for its franchisees and FastServ locations to deepen engagement with their customers," King stated. "We are pleased to welcome the GradeEight team to DSG and look forward to leveraging our combined strengths to drive continued growth and value for our customers, suppliers and associates."

Where GradeEight Will Fit In

Upon the successful completion of the transaction, GradeEight Holdings is projected to contribute approximately $110 million in annual sales to Distribution Solutions Group’s growing portfolio. The leadership teams from both organizations anticipate that the deal will officially close by the end of the fourth quarter of 2026, subject to customary closing conditions. Once finalized, GradeEight’s extensive operations will be positioned alongside Lawson Products, another major MRO distributor operating within the parent company’s diverse portfolio of industrial brands.

Cody Patterson, chief executive officer of GradeEight Holdings, expressed enthusiasm regarding the transition and the strategic benefits it offers to internal stakeholders, commercial customers, and supply chain partners alike.

"This transaction represents an exciting new chapter for GradeEight," said Patterson. "By joining DSG and working alongside the Lawson Products team, we gain access to expanded resources, product categories, and operational capabilities that will benefit our customers and supplier partners."

In addition to driving substantial revenue growth and expanding the parent company’s geographic footprint, the integration of Winzer Corporation will bring valuable physical assets into the fold, including strategically positioned distribution facilities located in Texas and Michigan. Meanwhile, FastServ Supply contributes a well-established retail footprint consisting of eight physical stores located across Arkansas and Texas. These brick-and-mortar locations and distribution centers play a vital role in servicing commercial and industrial customers operating across a wide variety of demanding industries.

Reflecting on the legacy of the business and its outlook for the future, Patterson expressed appreciation for the commercial relationships that have been forged over the years.

"We are grateful for the relationships we have developed over the years and believe this combination positions our franchisees, our business and our employees for continued success and new opportunities in the future," said Patterson.