Investment Thesis

Market Opportunity

The U.S. electrical distribution market exceeds $150 billion annually and remains highly fragmented. Thousands of regional distributors compete against national players like Graybar, WESCO, and Sonepar, but lack the scale, technology, and logistics infrastructure to compete effectively.

Industry consolidation is accelerating. Many regional distributors are family-owned businesses with aging owners seeking exit opportunities. Private equity has entered the space, but traditional roll-up strategies fail to capture platform value.

Our Differentiation

PES Global takes a technology-first approach to distribution consolidation:

• 48-Hour Integration: Our Big Sky Agentics platform integrates acquired distributors within two days. Traditional integrations take 6-12 months.
• Real-Time Operations: AI-powered inventory visibility, order routing, and pricing optimization across all locations.
• Contractor Network: 100,000+ contractors through PowerLink provide demand visibility and customer acquisition channels.
• Integrated Logistics: Portlandia Logistics captures freight margin and enables 2-day nationwide delivery from Louisville.

Value Creation Model

Traditional distributor acquisitions generate 3-5x EBITDA multiples. Platform businesses with technology, network effects, and recurring revenue command 7-10x multiples.

PES Global creates platform value through:

• Purchasing Synergies: Collective buying power across 229+ manufacturers
• Logistics Efficiencies: Shared fulfillment infrastructure and freight optimization
• Technology Leverage: Single platform investment serving all operating companies
• Network Effects: Contractor network value increases with each acquisition

Growth Path

Our acquisition pipeline includes 40+ regional distributors across the United States. Target profile:

• $2M-$50M annual revenue
• Electrical, solar, lighting, EV charging, or industrial focus
• Strong contractor relationships
• Owner seeking exit or partnership

Each acquisition adds revenue, customers, and geographic coverage while generating immediate synergies through platform integration.