Worthington Enterprises acquires Hydrostat’s propane tank distribution and refurbishment business

Worthington Enterprises acquired Hydrostat Inc.’s propane tank distribution and refurbishment business. Hydrostat, based in Rice, Minnesota, supports commercial and residential solutions throughout the Midwest.

“Our customers are increasingly utilizing a hybrid portfolio of new and refurbished tanks as part of their asset and cost management strategies,” says Jimmy Bowes, president, building products, Worthington Enterprises. “Our acquisition of Hydrostat enhances our ability to help our customers achieve their business goals with a streamlined experience combining manufacturing and service. Hydrostat’s strong culture and reputation for quality, service and safety are aligned with our values, and they have a growing customer base in a geographic area where we can further expand our own business. We are proud to welcome our new teammates to Worthington Enterprises and look forward to what we can accomplish together.”

Worthington Enterprises will leverage its operational expertise and integrated technology to help enhance the customer experience, heighten performance of refurbished tanks and increase access to its full product portfolio and national sales network, according to the company. Customers of Worthington Enterprises provide a natural pipeline for refurbishment services. Worthington Enterprises will transition Hydrostat’s distribution of new vertical propane tanks from imported manufacturers to be vertical tanks Worthington Enterprises manufactures domestically.

Hydrostat’s distribution and service center in central Minnesota provides strategic advantages serving the Midwest region and Canada. Specific to Canada, Worthington Enterprises plans to leverage its existing distribution partner, Diversco Supply Inc., to increase the availability of refurbished propane tanks throughout the country.

Stacy Schraut, CEO of Hydrostat, founded the company in 1999. He expanded into cryogenic cylinders in 2017 and will continue to own and operate that specialty repair and refurbishing business as Hydrostat, a standalone operation in a new location. Worthington Enterprises will integrate the propane tank refurbishment operations into its Building Products business segment.

“Worthington Enterprises is synonymous with high-quality, safe products and treating employees, customers and suppliers the way they want to be treated,” says Schraut. “As I thought about the best way to accelerate Hydrostat’s growth, enhance our service offering and provide greater career opportunities for our employees, I realized Worthington Enterprises was uniquely qualified to do all three of these things. I am thrilled for my colleagues, our customers and the propane industry for the bright future ahead.”

Featured homepage image: designer491/iStock / Getty Images Plus/Getty Images

---

Related Articles

Worthington Enterprises rebrands Viking Cylinders to Ragasco

Worthington Enterprises supports PHMSA cylinder safety advisory

Worthington Enterprises adds to global building products leadership team