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Industrial Flow Solutions logo

Overview

Industrial Flow Solutions (“IFS”) was formed to implement May River’s strategy of building a global flow control platform focused on wastewater pumps and IIoT controls solutions, including in predicative maintenance and spill protection control and countermeasure (“SPCC”).  The strategy was launched in 2017 with the acquisition of BJM Pumps and accelerated with the acquisitions of Stancor Pump & Control Solutions (2019), OverWatch Direct In-Line Pump Systems (2019), Clearwater Controls (2021), and Dreno Pompe (2022).

Industrial Flow Solutions goes to market through trade brands that preserve and build upon the original owner/operator identities: BJM Pumps®, Stancor®, Oil Minder®, DERAGGER™+, and Dreno Pompe. These brands are recognized throughout the wastewater industry for their problem-solving abilities and focus on severe service environments. IFS offers a comprehensive portfolio of electric submersible & direct in-line pumps and intelligent control and monitoring systems for industrial, commercial, and municipal wastewater applications.

Deal + Operating Thesis

Within the flow control industry, pumps constitute the second-largest industrial product category – behind motors – with an $80B+ global market size.  The pump market is highly fragmented and populated by specialized companies with significant engineering content, product application-specific design, and strong margins.  The abundance of small founder, family, and entrepreneur owned companies with under $50M in revenue makes for a compelling buy-and-build opportunity.

May River’s operating thesis for IFS aims to capitalize on the barbell industry dynamic within the pumps market, where a proliferation of businesses exist at the large/small ends of the market resulting in a scarcity of mid-sized businesses.  May River partnered with Chris Stevens, and later John Wilson, to build out a mid-sized flow control platform through selective acquisitions and above-market organic growth.  Chris and John bring career flow control expertise, having held senior leadership positions at Emerson, Honeywell, Pentair, Tyco, Fisher Scientific, and McKinsey & Company.

Partnership + Results

SENIOR LEADERSHIP TEAM DEVELOPMENT

May River introduced a new CEO, CFO, and COO into the company within three months of acquiring BJM Pumps.  May River’s Executive Resource Group (ERG) member Chris Stevens initially served as CEO and later transitioned to Chairman following the acquisition and integration of Stancor. In 2019, John Wilson, who had 20+ years of leadership experience at Emerson, was brought onboard as President to provide organizational leadership and help drive the growth of the portfolio and expand market share. The secondary leadership of IFS was further strengthened through onboarding of a new VP of Sales & Marketing, VP of Operations, Director of Engineering, and Director of Finance.

BEST-IN-CLASS OPERATIONS

May River and the senior leadership team streamlined operations, which included a significant improvement of business and operating systems, consolidation of three proximate sites into a single customized facility, and comprehensive top-grade of commercial channel partners.  Cross-selling across brands and geographies was also implemented to optimize shared distribution channels, which included a European manufacturing footprint through acquisition and subsequent expansion.

BUY-AND-BUILD STRATEGY

IFS followed through on the original investment thesis by acquiring five pure-play businesses over a five-year plan. Platform integration has been achieved through the establishment of a single leadership team, a shared facility and headquarters, a common ERP system, and a harmonized brand.