Hills Distribution Joins Forces with PexUniverse to Accelerate HVAC and Plumbing E-Commerce Expansion

The landscape of heating, ventilation, air conditioning (HVAC) and plumbing distribution is undergoing a rapid digital transformation, highlighted by a major strategic alignment between industry platform Hills Distribution and prominent e-commerce supplier PexUniverse. In a transaction announced recently, Hills Distribution—a growing network of independent plumbing, HVAC, and hydronic product distributors—has officially partnered with PexUniverse to significantly bolster its online retail capabilities and expand its digital footprint across North America.

While the financial terms of the agreement were not disclosed by either entity, the strategic rationale centers on combining traditional physical distribution networks with agile, high-performing digital models. The partnership also involves private investment backing from Grove Mountain Partners, a private equity firm that specializes in scaling wholesale distribution and blue-collar service enterprises generating annual revenues between $25 million and $300 million.

As digital channels capture an increasingly larger share of the business-to-business (B2B) distribution market, this transaction underscores a broader industry-wide shift. Traditional supply chains are no longer relying solely on brick-and-mortar branch networks. Instead, companies are actively seeking out e-commerce capabilities to meet the evolving procurement habits of contractors, technicians, and DIY consumers who demand fast, transparent, and digitally integrated supply chains.

Leadership Transitions and Operational Continuity

To ensure a seamless integration of operations following the transaction, key leadership figures from PexUniverse will remain onboard to guide the company through its next phase of growth. Mariya Pylypyuk has been appointed to serve as the general manager of PexUniverse, where she will continue to lead day-to-day business operations alongside the existing management team. Additionally, Vitaly Kharitonov will remain with the organization in a specialized operational role, preserving institutional knowledge and maintaining the customer service standards that helped establish PexUniverse in the market.

Gennady Sharovetky, the former owner of PexUniverse, noted that finding the right cultural and strategic fit was paramount when considering a transition. Sharovetky emphasized that both Hills Distribution and Grove Mountain Partners demonstrated a clear alignment with PexUniverse’s core mission: scaling operations while preserving the foundational values that drove the company’s initial success. By keeping experienced leadership at the helm, the companies hope to mitigate disruption for existing customers, suppliers, and employees while unlocking new avenues for expansion.

Strategic Rationale: Capitalizing on the E-Commerce Boom in HVAC

The decision by Hills Distribution to integrate PexUniverse into its growing family of brands is rooted in a calculated effort to capture market share within the rapidly expanding digital distribution channel. Industry analysts have observed a persistent migration of B2B buyers toward online procurement platforms, driven by the need for inventory visibility, streamlined ordering processes, and rapid delivery options.

Ron LaBusch, CEO of Hills Distribution, expressed enthusiasm regarding the partnership, highlighting the strategic value that PexUniverse brings to the broader platform. According to LaBusch, PexUniverse has successfully carved out a distinct market position characterized by a specialized value proposition and a resilient operational moat. By bringing PexUniverse under the Hills Distribution umbrella, leadership anticipates meaningful opportunities to accelerate revenue growth while simultaneously reinforcing the digital resilience of the entire Hills enterprise.

PexUniverse brings substantial e-commerce infrastructure to the partnership, anchored by a robust product catalog featuring approximately 8,000 Stock Keeping Units (SKUs). Operating out of a dedicated distribution facility, the company has fine-tuned an efficient digital fulfillment model designed to serve a diverse customer base ranging from residential contractors to commercial plumbing professionals.

Jon Perry, chairman of Hills Distribution, echoed these sentiments, pointing out that PexUniverse’s digital competencies directly complement the physical branch network already established by Hills. Perry emphasized that the acquisition introduces a specialized capability that fits neatly into the company’s long-term growth trajectory, enabling Hills to participate more aggressively in one of the fastest-growing segments of the plumbing and HVAC supply chain.

The Role of Grove Mountain Partners in Wholesale Consolidation

The involvement of Grove Mountain Partners highlights a broader macroeconomic trend: private equity firms are increasingly targeting the wholesale distribution and industrial services sectors. Companies within these industries often present attractive investment targets due to their essential nature, steady demand cycles, and potential for operational optimization through technology adoption.

Grove Mountain Partners typically focuses on lower-middle-market companies with annual revenues ranging from $25 million to $300 million. By providing capital, strategic guidance, and operational resources, private equity firms like Grove Mountain can help traditional distributors navigate the complex transition from legacy, paper-based systems to modern, data-driven e-commerce ecosystems.

In the case of the Hills Distribution and PexUniverse partnership, Grove Mountain’s backing provides the financial foundation necessary to scale inventory, expand warehouse automation, and enhance digital marketing efforts. This infusion of capital is expected to help PexUniverse compete more effectively against larger national conglomerates while maintaining the specialized expertise that independent distributors are known for.

Broader Implications for the HVAC and Plumbing Supply Chain

The integration of PexUniverse into the Hills Distribution platform reflects a wider evolution taking place across industrial distribution sectors. For decades, the HVAC and plumbing markets relied primarily on localized brick-and-mortar supply houses where contractors picked up parts in person. While physical branches remain essential for emergency repairs and same-day availability, the modern contractor increasingly expects omnichannel capabilities—including robust online catalogs, real-time inventory tracking, mobile-friendly reordering, and direct-to-jobsite shipping.

By blending a traditional federation of independent plumbing, HVAC, and hydronic distributors with a digitally native e-commerce player, Hills Distribution is positioning itself to capture demand across both traditional and digital touchpoints. This hybrid approach mitigates the vulnerability of relying on a single channel, allowing the company to serve contractors whether they walk into a physical branch or place an order online late at night from a mobile device.

Furthermore, as supply chain disruptions and inflationary pressures continue to challenge industrial sectors, scale and digital integration have become critical survival tools. Companies equipped with advanced e-commerce analytics can better forecast demand, optimize inventory turnover, and manage supplier relationships more efficiently than their non-digital counterparts.

Looking Ahead: Future Growth and Market Positioning

As the transaction concludes and leadership settles into their respective roles, the immediate focus for Hills Distribution and PexUniverse will be operational synergy and scaling fulfillment capacities. With Mariya Pylypyuk leading the PexUniverse team alongside seasoned executives from Hills and Grove Mountain Partners, the enterprise is well-positioned to expand its SKU offerings, penetrate new geographic regions, and enhance its digital marketing infrastructure.

While the financial details of the partnership remain confidential, the strategic intent is unmistakable. The alliance between Hills Distribution and PexUniverse serves as a case study in how traditional industrial distributors are modernizing their business models to meet the demands of a digitally empowered customer base. As the B2B e-commerce landscape continues to mature, partnerships of this nature are likely to become increasingly common, reshaping the competitive dynamics of the HVAC and plumbing supply sectors for years to come.