Distribution Solutions Group has agreed to be acquired by its controlling shareholder in a deal that will cash out remaining public investors at $35.00 per share. The buyer, affiliates of LKCM Headwater Investments LLC, already controls approximately 79% of DSG’s outstanding common stock, and the company’s Chairman and CEO J. Bryan King also serves as Managing Partner of LKCM Headwater. Law firm Julie & Holleman LLP is investigating whether the merger process adequately protected minority shareholders and whether the price reflects fair value, noting that controller buyouts receive heightened judicial scrutiny. The firm is reviewing the negotiation process, the special committee’s independence, and related disclosures.
Distribution Solutions Group IncController buyout at $35/share; investigation into fairness and price adequacy creates uncertainty for minority shareholders.
As the controlling shareholder and buyer, LKCM Headwater is acquiring the remaining public stake at a fixed price, consolidating ownership.