Ferguson Enterprises Inc., the largest distributor to North America’s construction market, has raised $750 million through the sale of senior notes, a move the company says will strengthen its balance sheet and provide new funding capacity as it expands its U.S. operations.
The Sept. 22 offering involved 4.35% senior notes due in 2031, guaranteed by Ferguson’s U.K. holding subsidiary. The proceeds are expected to be used for general corporate purposes, which could include paying down existing borrowings, financing acquisitions, repurchasing stock, or investing in technology and distribution expansion.
The sale of the notes follows Ferguson’s 2024 decision to shift its corporate registration from the U.K. to Delaware. That restructuring created Ferguson Enterprises Inc. as the parent company and successor to Ferguson plc, giving the company easier access to U.S. capital markets, and aligning its legal base with its largest operating footprint.
Ferguson supplies builders, plumbers, and contractors with a wide range of products, including plumbing, HVAC, appliances, lighting, pipes, and water systems. It sells through a network of distribution centers, showrooms, sales associates, and ecommerce platforms.
The company said the new financing provides greater flexibility to pursue its growth strategy in a construction market that continues to face cost pressures and supply chain challenges. Ferguson has been active in acquisitions of regional distributors and in expanding its digital platforms, moves designed to increase its market share in a fragmented $340 billion industry.
Headquartered in Newport News, Virginia, Ferguson emphasized that the offering gives it additional stability and financing options at a time when large distributors are consolidating to meet growing customer demand for scale, service, and technology investment.
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