The fluid power supplies market is set for a consolidation splash out of Applied Industrial technologies.

The Cleveland-based fluid power, power transmission and automation products distributor announced Nov. 22 that it has agreed to acquire Hydradyne.

Terms of the deal were not disclosed.

Founded in 1968, Dallas, TX-based Hydradyne is a provider of fluid power solutions and motion control systems, including: hydraulics, pneumatics, electromechanical, instrumentation, filtration and fluid conveyance. The company operates from 33 locations across Texas, Oklahoma, Louisiana, Arkansas, Mississippi, Alabama, Georgia, South Carolina, North Carolina and Florida. The company has approximately 500 associates.

Hydradyne Locations Map (via Hydradyne website as of Nov. 25)

Hydradyne brands itself as North America’s largest Parker distributor.

“Their technical capabilities, local customer-centric culture, and operational caliber aligns extremely well with our strategy and long-term objectives,” Applied President and CEO Neil Schrimsher said in a Nov. 22 news release. “In addition, Hydradyne will enhance our footprint within the growing and strategic U.S. Southeast region and positively influence our business mix.”

The pending deal will combine the Nos. 1 and 10 companies on MDM’s 2024 Top Distributors List for Fluid Power.

Applied said it expects the acquisition to generate around $260 million in sales and $30 million in EBITDA during the first 12 months of ownership.

“Our combined technical capabilities and access to world class fluid power, motion, flow control, and automation technologies presents a powerful value proposition for our customers that will accelerate cross-selling and market penetration,” Schrimsher added. “This includes enhancing our collective efforts to serve the rapid pace of innovation developing across fluid power systems as secular demand tied to reshoring, equipment modernization, power management, connectivity, and electrification continues to grow.”

Applied reported its financial results for its fiscal 2024 that ended June 30 on Aug. 15. The company posted total sales of $4.5 billion and EBITDA of $553 million that increased 5.5% year-over-year.