Why This Matters to Distributors: The deal is the second acquisition Midland has completed this year and signals how private equity-backed industrial distributors are using bolt-on acquisitions to add specialty product depth and strengthen OEM channel access.
Midland Industries, a Kansas City, Missouri-based distributor and manufacturer of industrial pipe, valve and fittings products, is acquiring Trading Services International LLC, adding a New York-based specialty distributor of aluminum, copper and brass components serving the HVAC and refrigeration markets.
Financial terms were not disclosed.
Founded in 1988, Trading Services International distributes fittings, valves, coils, and other components primarily to HVAC customers. The company focuses on difficult-to-source specialty metal products and maintains OEM customer relationships supported by a global supply chain network.
“TSI has built highly differentiated, longstanding customer relationships, supported by a strong reputation for quality and exceptional service,” said Fabian de Armas, executive chairman of Midland. “This acquisition expands our product breadth, enhances our global sourcing capabilities, and positions us to deliver an even more comprehensive offering to both new and existing customers.”
Joel Darr, chief executive officer of Trading Services International, said the deal creates growth opportunities across the company’s customer and supplier base. “Midland’s complementary portfolio, scale, and operational resources will enhance our capabilities while preserving the service-first approach that has defined TSI,” Darr said.
Midland, founded in 1919, distributes fittings, valves, hose, clamps and related products across manufacturing, plumbing, utilities, HVAC, fluid power, and general industrial end markets. The company is a portfolio company of Gemspring Capital, a Westport, Connecticut-based private equity firm with $5.1 billion in capital under management that targets middle market companies with up to $2 billion in revenue.
The TSI acquisition is Midland’s second deal in six weeks. On March 9, Midland acquired Industrial Specialties Manufacturing LLC, an Englewood, Colorado-based distributor and assembler of pneumatic, vacuum and fluid circuitry components serving distributors and OEMs globally.
For industrial distributors in specialty component categories, the back-to-back acquisitions reflect how Gemspring is using Midland as a consolidation platform in markets defined by technical complexity, limited supplier optionality, and entrenched OEM relationships — characteristics that tend to compress competition and sustain margins.
Distributors with narrow product lines and deep customer ties in hard-to-source categories remain logical acquisition targets as platform companies pursue broader industrial coverage.
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