Distributors can act as partners, resources and lifelines to contractors in the water supply industry. Headwater Companies LLC, though newly formed, has distributor DNA. The new company, announced in April by parent company Franklin Electric, brings together 2M Company Inc., Western Hydro Holding Corporation and Drillers Service Inc. (DSI). Franklin bought the three companies (and the 2M/DSI joint venture) and rolled them up into Headwater Companies, installing Franklin veteran DeLancey Davis as president of the new holding company. The $89 million deal created a distributor network — with 60 locations and nearly 500 employees — that Franklin Chairman and CEO Gregg Sengstack calls “the largest in the industry.”
The goal is to manage and, ultimately, expand a strong network of distributors focused on groundwater products. Headwater Companies will act as a “full line wholesale distributor,” which means contractors can rely on them for products from a range of manufacturers, not just Franklin Electric.