Dallas, December 7, 2025
Lone Star Funds has sold its portfolio company, SPX FLOW, Inc., to ITT Inc. for $4.775 billion. This significant transaction highlights Lone Star’s investment strategy and the growth of the Dallas business community. SPX FLOW, known for its operational efficiencies and product innovation, serves diverse markets, including industrial and health sectors. The sale underscores Lone Star’s focus on value creation and strategic exits in private equity.
Lone Star Funds Sells SPX FLOW to ITT Inc. for $4.775 Billion
A Milestone Transaction for Dallas-Based Private Equity Firm
Dallas, December 5, 2025 – In a significant development within the private equity landscape, Lone Star Funds has announced the sale of its portfolio company, SPX FLOW, Inc., to ITT Inc. for an impressive $4.775 billion in cash and stock. This move not only reflects Lone Star Funds’ successful investment strategy but also highlights the ongoing growth and adaptability of the Dallas business community.
Since its acquisition in April 2022, Lone Star Funds has made notable enhancements to SPX FLOW, focusing on operational efficiencies and product innovation. The firm’s efforts have evidently positioned SPX FLOW as a customer-centric leader in servicing various markets, including industrial, health, and nutrition.
The Strategic Importance of SPX FLOW
Headquartered in Charlotte, North Carolina, SPX FLOW specializes in engineered equipment and process technologies. The firm operates in over 25 countries, boasting sales across more than 140 countries, generating robust revenues. For the trailing twelve months ending September 27, 2025, SPX FLOW reported $1.3 billion in revenue, with approximately 43% derived from aftermarket sales. Such figures underline SPX FLOW’s integral role within the industrial sector, particularly during a time when the demand for innovative and efficient engineering solutions continues to grow.
Lone Star Funds: A Catalyst for Growth
Founded over 30 years ago, Lone Star Funds has built a reputation for managing complex investment situations, specializing in private equity, credit, and real estate. The organization has raised around $95 billion across 25 funds since its inception. The sale of SPX FLOW exemplifies the firm’s strategic focus on value creation, underscoring its capability to enhance its portfolio companies and prepare them for successful exits, a vital aspect of private equity investment.
The Acquisition Process and Future Prospects
The acquisition by ITT Inc. is slated to close by the end of the first quarter of 2026, pending customary closing conditions and regulatory approvals. Financial advising support for this transaction has been provided by Citi and Jefferies LLC. The integration of SPX FLOW into ITT Inc. is anticipated to yield significant synergies, further strengthening ITT’s position in the engineered components and adjacent flow technologies sector.
Market Response and Implications
As of December 6, 2025, SPX FLOW’s stock is trading at $208.67, reflecting a slight increase from the previous close. Meanwhile, ITT Inc.’s stock is valued at $180.99. These figures can serve as indicators for market confidence in both companies during this pivotal transition period.
Conclusion
The transaction involving Lone Star Funds and ITT Inc. not only serves as a testament to the resilience and innovation of the Dallas business community but also underscores the positive impact of private investment in advancing company operations and market leadership. Local entrepreneurs and investors are encouraged to continue fostering an environment where creativity can thrive, propelling the economy forward.
As Dallas continues to establish itself as a hub for business innovation, it remains crucial for community members to support each other in local ventures and stay engaged with developments that drive economic growth and job creation.
Frequently Asked Questions
What is the value of the acquisition between Lone Star Funds and ITT Inc.?
Lone Star Funds has agreed to sell its portfolio company, SPX FLOW, Inc., to ITT Inc. for $4.775 billion in cash and stock.
When is the acquisition of SPX FLOW expected to close?
The acquisition by ITT Inc. is expected to close by the end of the first quarter of 2026, pending customary closing conditions and regulatory approvals.
What company did Lone Star Funds acquire SPX FLOW from?
Lone Star Funds initially acquired SPX FLOW in April 2022 through a take-private transaction.
What markets does SPX FLOW serve?
SPX FLOW specializes in engineered equipment and process technologies serving industrial, health, and nutrition markets.
Key Features of the Transaction
| Feature | Detail |
|---|---|
| Buyer | ITT Inc. |
| Seller | Lone Star Funds |
| Transaction Value | $4.775 billion |
| Closing Date | End of Q1 2026 |
| Headquarters of SPX FLOW | Charlotte, North Carolina |
| SPX FLOW Revenue | $1.3 billion (trailing twelve months) |
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