Valco Melton Acquired by Graco | Manufacturing M&A Deal

Graco has acquired Valco Melton, a precision industrial equipment business in Minnesota, for $447 million in cash. Valco Melton designs, manufactures, and supports adhesive application and quality assurance systems used in packaging and industrial manufacturing, including precision sealant and adhesive dispensing plus vision-based quality verification. Graco acquisitions expand its industrial equipment capabilities in MN by adding complementary fluid handling and quality assurance technologies for production uptime, productivity, and consistent performance. The platform acquisition is a strategic public company acquisition by Graco, valued at about 14x Valco Melton full-year 2025 EBITDA, and includes approximately $40 million in expected tax benefits subject to adjustments. The deal is expected to close in Graco’s fiscal third quarter after customary closing conditions.