IDEX acquires Flow Management Devices for $125 million
Lake Forest-based IDEX Corp. said Thursday it will acquire Flow Management Devices, a privately-held provider of flow measurement systems for the oil and gas industry, for $125 million in an all-cash deal.
Phoenix-based Flow MD engineers and manufactures "unidirectional captive displacement provers," also known as "small volume provers," which provide critical measurements in a market where slight inaccuracies in flow meter measurements can result in enormous payment discrepancies for customers, IDEX officials said.
Flow MD has annual sales of approximately $60 million, and will join IDEX's energy group, adding to pump and metering systems produced by IDEX companies SAMPI, Toptech Systems, Liquid Controls and Corken.
"Adding Flow MD to the IDEX family of businesses will extend our expertise in providing highly-engineered solutions to energy customers, including refineries, chemical manufacturers and pipeline operators," said IDEX Chairman and CEO Andy Silvernail.
Founded in 2007, Flow MD products are known for accuracy, repeatability, and reliability. The company offers 12 different sizes of small volume provers that can analyze up to 24,500 gallons per minute. Flow MD components can be customized based on liquid application and footprint. They are also designed to withstand extreme temperatures, topologies, pressures and humidity in field settings.
In addition to its headquarters and manufacturing facilities in Phoenix, Arizona, Flow MD has offices in Houston and Pittsburgh.
The transaction is expected to close in the first quarter of 2020.