Advanced Drainage Systems to buy StormTrap for about $530 million
WMS•Advanced Drainage Systems agreed to buy StormTrap Investments for about $530 million, or about $450 million after expected tax benefits. The deal is targeted to close in the fourth quarter of 2026.
1. Deal terms
Advanced Drainage Systems agreed to acquire StormTrap Investments from PSP Capital for about $530 million, or about $450 million adjusted for expected tax benefits. StormTrap had about $165 million in revenue and $40 million in adjusted EBITDA for the 12 months ended July 2026. The net valuation implies about 10 times adjusted EBITDA, including expected run-rate cost synergies; the purchase will be funded with cash and existing credit lines.
2. Closing target
The acquisition would expand Advanced Drainage Systems into large-volume, space-constrained stormwater storage and treatment systems. Closing is targeted for the fourth quarter of calendar 2026, subject to customary closing conditions and required regulatory approvals.
