Lone Star Funds has agreed to sell SPX FLOW to ITT Inc. in a cash-and-stock deal valued at roughly $4.775 billion. It’s the latest in a series of major exits for the Dallas-based investment firm, including the sale of its stake in Portuguese lender Novo Banco in a deal valued at more than $7.4 billion earlier this year.

Donald Quintin, CEO of Lone Star, said the sale caps several years of work to reshape the business after taking it private in 2022. “The sale of SPX FLOW marks the culmination of several years of hard work to streamline its portfolio and enhance the business,” Quintin said in a statement. He added that the company’s leadership team executed on a plan that targeted growth areas while improving commercial operations and product offerings.

Lone Star initially acquired SPX Flow three years ago in an all-cash transaction valued at approximately $3.8 billion. The firm expects the sale to ITT to close by the end of the first quarter of 2026.

Quintin said the combination with ITT creates “a unique opportunity to accelerate value creation across both organizations,” noting that Lone Star expects to participate in the company’s next phase of growth.

SPX FLOW specializes in engineered systems—mixing, blending, fluid handling, separation, and thermal technologies—for industrial, health, and nutrition customers. The company operates in more than 25 countries and sells into more than 140.

Lone Star, headquartered in Dallas with offices in 11 cities globally, said SPX FLOW strengthened its sales execution and operating platform under the firm’s ownership. The company reorganized its commercial teams and expanded into additional markets and sectors. Today, SPX FLOW is “a customer-centric leader in its industry with a culture premised on collaboration and innovation,” the company said.

Citi and Jefferies LLC are advising Lone Star.

A highly active 2025

The SPX FLOW agreement follows Lone Star’s active stretch this year, which included the aforementioned midyear exit from Novo Banco—a long-held stake sold to French banking group BPCE in a transaction valued at more than $7.4 billion. The Dallas Business Journal reported that Lone Star’s proceeds from the sale were estimated at roughly $5 billion.

From there, the firm continued to accelerate its industrial and real estate activity.

In October, Lone Star agreed to acquire Hillenbrand Inc. in an all-cash deal valued at $32 per share, giving the industrial manufacturer an enterprise value of roughly $3.8 billion, according to Kirkland & Ellis, which advised the firm in the take-private transaction. That deal is also expected to close by the end of the first quarter of 2026.

In November, an affiliate of Lone Star Real Estate Fund VII acquired a 16-asset real estate portfolio from St. James’s Place in the UK. The portfolio includes multi-let industrial, retail, and office properties concentrated in London and the South East—building on the firm’s earlier acquisition of nine purpose-built student housing assets in June.

The deals add to a long list of 2025 activity. Among them, Lone Star sold building materials company Xella in a $2.16 billion transaction, sold a group of multifamily properties in West Texas, and purchased a 175-room hotel in Yokohama.

Quincy Preston contributed to this report.

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