secwatch.observer — SEC 8-K summary
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Issuer:     ADVANCED DRAINAGE SYSTEMS, INC. (WMS)
CIK:        0001604028
Form:       8-K
Filed at:   2026-10-05T11:00:28+00:00
Accession:  0001193125-26-413092
Event type: m_and_a
Sentiment:  positive
Materiality: 0.70
Item codes: 1.01, 7.01, 9.01
LLM model:  deepseek-v4.1-flash:cloud@v2

ADS to acquire StormTrap for ~$530M ($450M net of tax benefits), accretive to adjusted EPS in year one
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- Deal value ~$530M, or ~$450M adjusted for present value of expected tax benefits; funded with cash on hand and existing ADS credit facility.
- StormTrap generated ~$165M revenue and ~$40M adjusted EBITDA for LTM ending July 2026; purchase multiple ~10x adjusted EBITDA net of tax benefits incl. run-rate synergies.
- Expected to close Q4 calendar 2026; subject to customary conditions including antitrust approvals; boards of both companies unanimously approved.
- ADS expects deal accretive to adjusted EPS in first year; adds large volume, space-constrained stormwater storage, boosting non-residential and infrastructure cross-selling.
- StormTrap CEO Nate Olds praised ADS' national scale; ADS CEO Scott Barbour cited integration expertise. Jefferies advised ADS; Raymond James/William Blair advised sellers.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1604028/000119312526413092/0001193125-26-413092-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1604028/000119312526413092/d119803d8k.htm
  HTML page:      https://secwatch.observer/filing/0001193125-26-413092

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