SIGMA Bolsters Southeast Footprint with Masonry Supply Acquisition

The consolidation of America's fragmented waterworks infrastructure sector accelerated this week as SIGMA Companies International Corp. announced the acquisition of Masonry Supply, Inc., a North Carolina-based manufacturer of municipal waterworks castings and polymer enclosures. The transaction, disclosed January 7, represents the latest step in a deliberate buy-and-build strategy orchestrated by Wind Point Partners, the Chicago-based private equity firm that acquired SIGMA just nine months ago.

Financial terms of the deal were not disclosed, but the acquisition signals an aggressive timeline for Wind Point's value creation playbook. The firm is moving swiftly to consolidate a market characterized by regional players and aging infrastructure demands that industry experts estimate will require $3.4 trillion in investment over the next two decades.

Based in Selma, North Carolina, Masonry Supply brings more than just manufacturing capacity to the combined entity. The company's Tricast-branded product line has built a reputation for quality in municipal waterworks applications across the Southeast, a region experiencing some of the nation's most robust demographic growth. Jacob Nash, Vice President of MSI, will continue leading commercial efforts for the business—a retention decision that underscores the value SIGMA places on preserving customer relationships and institutional knowledge.

The relationship between the two companies extends back three decades, according to Terry Keen, founder of Masonry Supply. "We have known SIGMA for three decades, and over this time we have developed a mutual respect based on an uncompromising customer-first approach," Keen said in a statement. That long-standing familiarity likely facilitated due diligence and integration planning, reducing execution risk in a sector where technical expertise and customer service differentiate competitors.

For SIGMA, the acquisition accomplishes two strategic objectives simultaneously: product portfolio expansion and enhanced regional fulfillment capabilities. The company, founded in 1985, manufactures and supplies waterworks infrastructure products including fittings, pipe restraints, municipal construction castings, polymer enclosures and accessories for water, wastewater, and other critical infrastructure sectors. Masonry Supply's operations in Selma position SIGMA to serve customers across the Southeast more efficiently, reducing logistics costs and delivery times in a region where infrastructure investment is accelerating.

Mark Carpenter, CEO of SIGMA, framed the acquisition explicitly around demographic trends. "Demographic growth across the Southeast U.S. necessitates increased investment to maintain and expand existing waterworks infrastructure," he stated. "The strategic acquisition of MSI enables SIGMA to further support our customers' needs in this growing region."

The Southeast has indeed emerged as one of America's fastest-growing regions, with states like North Carolina, Florida, Georgia, and Texas experiencing sustained population influxes. This demographic shift creates compounding pressure on water infrastructure systems, many of which were designed for smaller populations and are already operating beyond their intended lifespan. Municipalities face the dual challenge of maintaining aging systems while simultaneously expanding capacity to serve growing communities.

The timing aligns with broader infrastructure investment trends. While the federal government once provided more than $25 billion in capital investment for water infrastructure, representing almost half of total annual spending, that share has declined dramatically over recent decades. The burden has shifted to state and local governments, creating opportunities for private sector suppliers like SIGMA to capture increased municipal spending.

Peter Leemputte, Principal at Wind Point Partners, made the firm's intentions explicit: "A core component of the SIGMA value creation plan is product line expansion and deeper regional penetration through acquisitions. The acquisition of MSI closely aligns with this strategy, and we look forward to supporting the growth of the combined businesses."

That statement reveals a textbook buy-and-build strategy, a private equity approach that has gained favor in fragmented industries. Wind Point completed the acquisition of SIGMA in April 2025, establishing the Cream Ridge, New Jersey-based manufacturer as a platform company. The Masonry Supply transaction, completed just nine months later, demonstrates the pace at which Wind Point intends to execute.

The waterworks infrastructure sector presents an ideal landscape for this strategy. The industry remains highly fragmented, with numerous regional manufacturers serving local markets. These companies often lack the capital and operational sophistication to scale independently, yet they possess valuable customer relationships, technical expertise, and regional market knowledge. For a well-capitalized platform like SIGMA, these businesses represent accretive acquisition opportunities that can be integrated to create a more comprehensive product offering and broader geographic footprint.

Wind Point's approach also benefits from favorable industry dynamics. Unlike cyclical sectors vulnerable to economic downturns, water infrastructure represents non-discretionary spending. Municipalities cannot defer maintenance indefinitely, and population growth creates inelastic demand for system expansion. This defensive characteristic makes waterworks infrastructure an attractive sector for private equity investment, particularly in an uncertain macroeconomic environment.

The SIGMA-Masonry Supply transaction fits within a broader consolidation trend across infrastructure sectors. As municipalities face budget constraints and seek to streamline their vendor relationships, they increasingly favor suppliers that can provide comprehensive solutions rather than managing relationships with multiple specialized vendors. This dynamic advantages larger, well-capitalized platforms that can offer broader product portfolios and multi-regional service capabilities.

For smaller manufacturers like Masonry Supply, partnering with a platform company offers access to resources that would be difficult to develop independently. Keen acknowledged this reality, noting that the partnership "offers MSI access to additional commercial resources and a broader set of product solutions for our customers." Rather than competing against increasingly sophisticated competitors, regional manufacturers can preserve their legacy and customer relationships while gaining the benefits of scale.

The transaction also reflects the maturation of private equity's approach to infrastructure investing. Rather than targeting large-scale assets like toll roads or utilities, firms like Wind Point are focusing on the suppliers and service providers that support infrastructure systems. This strategy offers attractive returns without the regulatory complexity and capital intensity of direct infrastructure ownership.

The waterworks infrastructure sector faces a confluence of tailwinds that should support continued consolidation and growth. Aging systems require replacement, with many municipal water networks operating on infrastructure installed decades ago. The American Water Works Association has documented a significant funding gap for water infrastructure, creating sustained demand for products and services.

Regulatory pressures are also intensifying. Environmental standards for water quality continue to tighten, requiring municipalities to upgrade treatment systems and replace aging pipes that may leach contaminants. Climate change introduces additional complexity, with more frequent extreme weather events stressing systems designed for historical precipitation patterns. These factors combine to create a multi-decade investment cycle that should benefit manufacturers positioned to serve municipal customers.

For SIGMA, the challenge now shifts to integration and identifying the next acquisition target. The company must successfully incorporate Masonry Supply's operations, preserve customer relationships, and realize the operational synergies that justify the transaction. Simultaneously, Wind Point and SIGMA's management team will be evaluating additional acquisition opportunities that fit the strategic criteria of product expansion and regional penetration.

The Southeast will likely remain a priority given demographic trends and the enhanced platform that Masonry Supply provides. But other regions experiencing infrastructure stress—including the Midwest, where aging industrial cities face system replacement needs, and the Southwest, where water scarcity creates unique infrastructure challenges—could also attract attention.

The SIGMA-Masonry Supply transaction offers insights into how private equity is approaching essential infrastructure sectors. Rather than pursuing headline-grabbing megadeals, firms are building platforms through disciplined, strategic acquisitions of smaller companies. This approach allows for more manageable integration challenges while steadily expanding capabilities and market presence.

For municipalities and water utilities, the consolidation trend presents both opportunities and considerations. Larger, well-capitalized suppliers may offer more comprehensive solutions, better service capabilities, and greater financial stability. However, the shift from independent regional manufacturers to private equity-backed platforms also raises questions about pricing power and the long-term dynamics of supplier relationships.

The transaction also highlights the growing recognition of water infrastructure as an investment theme. As climate change, urbanization, and aging systems converge, the sector faces unprecedented capital needs. Private equity firms, infrastructure funds, and strategic acquirers are positioning themselves to participate in what many view as a multi-decade investment opportunity.

For Wind Point Partners, the Masonry Supply acquisition represents an early validation of the SIGMA investment thesis. The firm moved quickly to execute its first add-on acquisition, demonstrating both the availability of targets and management's ability to identify and close transactions. The pace suggests additional deals are likely in the pipeline, as Wind Point works to build SIGMA into a more comprehensive waterworks infrastructure platform.

As the consolidation of America's waterworks infrastructure sector continues, transactions like SIGMA's acquisition of Masonry Supply will likely become increasingly common. The combination of defensive industry characteristics, favorable long-term demand drivers, and a fragmented competitive landscape creates an environment conducive to buy-and-build strategies. For private equity firms with patient capital and operational expertise, the sector offers an opportunity to generate returns while participating in the essential work of maintaining and upgrading the nation's water systems.

The question is not whether consolidation will continue, but rather which platforms will emerge as the dominant players and how quickly the industry structure will evolve. SIGMA, backed by Wind Point's capital and strategic vision, has positioned itself as an active consolidator. The Masonry Supply acquisition suggests the company intends to move aggressively, capitalizing on the current window of opportunity before valuations rise or larger strategic acquirers enter the market.

For now, the transaction stands as another data point in the ongoing transformation of America's waterworks infrastructure sector—a transformation driven by demographic shifts, infrastructure needs, and the calculated strategies of private equity firms seeking to build value in essential industries.

About the Companies:

SIGMA Companies International Corp. is a leading manufacturer and supplier of critical waterworks infrastructure products based in Cream Ridge, New Jersey. Founded in 1985, the company serves water, wastewater, and critical infrastructure sectors across the United States.

Wind Point Partners is a Chicago-based private equity firm focused on partnering with middle-market companies in the industrial, consumer, and business services sectors.

Masonry Supply, Inc., based in Selma, North Carolina, manufactures municipal waterworks castings, polymer enclosures, and waterworks accessory products under the Tricast brand.