Advanced Drainage Systems (ADS), Inc. (NYSE: WMS), manufacturer in the stormwater and onsite wastewater industries, has announced it has entered into a definitive stock purchase agreement under which it will acquire the water management business of Norma Group SE (DAX: NOEJ), known as National Diversified Sales (NDS).
The acquisition is an all-cash transaction valued at approximately $1 billion, or approximately $875 million when adjusted for the present value of the expected tax benefits.
According to ADS, the combination brings together complementary water management solutions to expand the company’s offering in new segments. By adding NDS’ expertise in residential water management solutions, access boxes and irrigation to its product portfolio, ADS said it will be positioned to enhance its capabilities as a comprehensive provider of full-scale water management solutions. ADS also said the transaction aligns with core growth strategies and accelerates momentum within Allied Products by introducing new solutions to the product portfolio, broadening customer reach, and enhancing distribution capabilities.
“ADS continues to evolve from a pipe manufacturing company to an enterprise providing a wide range of stormwater and onsite wastewater solutions, with leading manufacturing, logistics and design services,” said Scott Barbour, Chief Executive Officer and President of ADS. “The acquisition of NDS marks another important milestone in ADS’ journey as it accelerates our strategy to diversify and increase the mix of highly profitable Allied and Infiltrator products that enhance resiliency, supports profitable growth, and allows ADS to pursue water management projects across a broader set of applications. NDS is a leader across its product categories and is highly complementary to ADS’ solutions and go-to-market strategies.”
NDS generated $313 million in revenue over the trailing twelve months ended June 2025, with approximately 90% of sales in the United States. The acquisition is expected to be accretive to adjusted EPS in the first year, supported by ADS’ proven integration capabilities and operational discipline. The transaction value, net of estimated tax benefits, represents a multiple of ~10x NDS Adjusted EBITDA from trailing twelve months ended June 2025, inclusive of expected run-rate cost synergies.
“With a proven track record of creating value through strategic acquisitions, we are confident this combination will increase our exposure to markets with powerful secular tailwinds, where the need to manage and protect water – our most precious resource – continues to grow, safeguarding both communities and the environment,” added Barbour.
Source: ADS
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