Kewaunee Scientific To Acquire Nycom In $55 Million Deal

Statesville-based Kewaunee Scientific plans to acquire Midlothian, Virginia-based Nycom, the largest U.S. lab dealer, in a deal valued at $55 million.

The agreement combines Nycom’s expertise in laboratory design and project delivery with Kewaunee’s manufacturing capabilities of laboratory furniture and accessories. Kewaunee will leverage Nycom to support growth and pursue acquisition opportunities across North America, according to a release.

Kewaunee and Nycom have worked together for decades and have had a formal partnership since 2012.

“Nycom is an exceptional business, and we know firsthand the quality of their team and the work they deliver,” said Thomas Hull, CEO of Kewaunee Scientific. “We believe there is no better company in our industry at what they do.”

“Together, Kewaunee and Nycom aim to make it easier for customers to turn their vision into amazing laboratory spaces, combining the products and expertise needed to support projects from design through installation.”

The move follows the 2024 acquisition of Minnesota-based NuAire, also for $55 million. NuAire, which employed about 300 workers at the time of the deal, makes a variety of products mainly for the biomedical and healthcare industies, including biological safety cabinets, airflow products, CO2 incubators, freezers and pharmacy compounding isolators.

Kewaunee’s engineering and manufacturing capabilities are complemented by Nycom’s local market knowledge and project delivery expertise, according to a release.

“We have built Nycom around robust and scalable business processes that allow us to provide excellent service to our customers while maintaining a healthy and sustainable working environment for our employees,” said Jonathan Nystrom, president of Nycom. “Our relationship with Kewaunee has been an important part of that work for many years.”

Under the terms of the agreement, Kewaunee will buy Nycom for $55 million, subject to positive or negative adjustments based on Nycom’s trailing 12-month Adjusted EBITDA, or 2026 Adjusted EBITDA, whichever is greater, and other customary post-closing adjustments for working capital, cash, indebtedness and transaction expenses.

Kewaunee can pay $20 million of the purchase price in the form of a subordinated promissory note. Another $5 million of the purchase price will be payable in issued shares of Kewaunee’s common stock. The remaining cash portion of the purchase price will be funded by Kewaunee with cash and borrowings expected to be provided by PNC Bank.

Jon Nystrom, founder and chair of Nycom, will join Kewaunee’s board, and Jonathan Nystrom will join Kewaunee’s corporate executive management team.

The transaction is expected to close in the fourth quarter of fiscal 2027. K&L Gates served as legal adviser to Kewaunee.

Kewaunee has 755 U.S. employees and 476 international employees. It has office and manufacturing sites in Statesville and Minnesota, and an office in Charlotte. It also has a manufacturing site in India, and sales offices in Spain, Singapore, India and Saudi Arabia.

The company’s shares have traded between $32 and $43.36 in the past 52 weeks, and closed at $33.40 on Monday, gaining 1.2%.