The purchase price represents a multiple of approximately 10.5x 2026E EBITDA, including approximately $165 million in tax benefits and approximately $30 million in anticipated run-rate cost synergies.

The acquisition of Taco expands Pentair’s portfolio of smart, sustainable water solutions to support increased exposure to key high-growth end-markets primarily in North America. Taco is a leading provider of innovative, sustainable and high-performance hydronic and water-based HVAC and data center solutions. Over its more than 100-year history, Taco has established a premier brand, track record of innovation and a comprehensive portfolio of industry-leading pumps, valves, tanks, heat exchangers and advanced controls. Taco serves a diverse customer base in commercial, industrial and residential end-markets. Taco is expected to generate approximately $540 million in revenue in fiscal year 2026, with Adjusted EBITDA margins above 20% when including expected run-rate cost synergies.

"This highly strategic and value creating acquisition enhances the scale and reach of Pentair's innovative water solutions serving high-growth commercial and industrial end-markets, including HVAC and data centers," said John L. Stauch, Pentair President and CEO. "The addition of Taco will provide Pentair with a more comprehensive suite of solutions and enhanced development capabilities to benefit our customers across commercial, industrial and residential applications. We are confident in our ability to unlock significant profitability as we scale Taco, accelerate its growth across commercial markets and implement the Pentair Business System. We look forward to welcoming the Taco team to Pentair, ushering in a new chapter of growth and value creation."

"This partnership with Pentair allows us to accelerate our growth, expand our capabilities and further invest in our innovation and technology. It will also allow us to preserve our values, expertise and customer relationships, which have made Taco successful," said John Hazen White, Jr., Owner and Chairman of the Board, and Benjamin White, President of Taco.

Key Strategic and Financial Benefits of the Transaction

Scales Pentair's Position in Attractive, High-Growth Commercial and Mission-Critical End-Markets: The addition of Taco’s portfolio of pumps, valves and controls will strengthen Pentair’s presence across commercial end-markets, including data centers, schools, hospitals, universities as well as multi-family residential. The sustained demand for these mission-critical solutions is supported by secular water and sustainability trends, advancing Pentair’s strategic priorities and establishing a highly attractive and diversified growth engine.
Broadens Pentair’s Water-Management Platform with a Comprehensive Suite of Solutions: Combining Pentair’s existing portfolio of innovative water solutions with Taco’s complementary capabilities in pumps, valves, controls and hydronic systems will create a more comprehensive offering of premier solutions for commercial, infrastructure and residential customers. Further, Pentair’s innovation engine combined with Taco’s development capabilities creates significant opportunities to develop new solutions across markets that meet customer needs.
Provides Meaningful Cross-Sell Opportunities through Complementary Channels and Go-to-Market Strategy: Bringing together Pentair’s distribution network and Taco’s manufacturer representative network creates new channel opportunities that are expected to accelerate growth. Pentair expects to benefit from broader customer access and deeper partnerships across commercial, industrial and residential end-markets. The Company expects manufacturer representatives to provide more opportunities with OEMs, distributors, contractors, engineers, and end users.
Large Installed Base Broadens Pentair’s Access to Durable Aftermarket Revenue Streams: Taco benefits from a large installed base that generates substantial ongoing demand for replacement products, maintenance and system upgrades. The transaction will expand Pentair’s access to these durable aftermarket opportunities, supporting sustained growth and deeper customer relationships.
Creates Compelling Cost and Revenue Synergy Opportunities: The transaction is expected to be approximately $0.10 to $0.15 accretive to Adjusted EPS in fiscal year 2027. Pentair expects to generate approximately $30 million in run-rate cost synergies related to supply chain and operational efficiencies. The Company will apply its Pentair Business System to realize revenue synergies through complementary channels, expanded cross-selling and greater scale.
Maintains Solid Financial Position and Flexibility to Execute Balanced Capital Allocation Priorities: Pentair expects to have a net leverage ratio of approximately 2.4x following the close of the transaction and expects to de-lever to <1.5x within two years of the transaction close. Pentair’s strong balance sheet and robust cash flows will create ample flexibility to continue to invest in key growth initiatives while building on its track record of shareholder returns, including its more than 50 years of growing its dividend.
Transaction Details

The transaction is expected to close in the fourth quarter of 2026, subject to customary closing conditions and necessary regulatory approvals.

Pentair expects to finance the acquisition with a combination of cash on hand and committed bridge financing, which Pentair intends to refinance through a permanent debt issuance.

Upon completion of the transaction, Taco is planned to be a part of Pentair’s Water Solutions reportable segment, and it is expected to continue to go-to-market under the Taco brand. Taco will maintain a significant presence in Cranston, Rhode Island.