Acquisitions

9 Months Ended

Nov. 30, 2025

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

Acquisitions

2. Acquisitions

Canton Galvanizing

On July 1, 2025, we completed the acquisition of all the assets of Canton Galvanizing, LLC ("Canton Galvanizing"), a privately held hot-dip galvanizing company based in Canton, Ohio, for approximately $30.1 million. The acquisition expanded our geographical coverage in metal coatings capacity and further strengthens our network of facilities in the Midwest region of the United States. The business is included in the AZZ Metal Coatings segment. The goodwill arising from this acquisition was allocated to the AZZ Metal Coatings segment and is expected to be deductible for income tax purposes.

The allocation of purchase price to the identifiable assets acquired and liabilities assumed for this acquisition is preliminary and subject to revisions during the measurement period, up to one year from the date the acquisition closed. These determinations include the use of estimates based on information that was available at the time these unaudited condensed consolidated financial statements were prepared. During the third quarter of fiscal 2026, we made purchase price allocation adjustments that increased the fair value of identifiable intangible assets by $1.3 million and a corresponding decrease of $1.3 million to goodwill. We believe that the estimates used are reasonable; however, the estimates are subject to change as additional information becomes available.

Intangible assets subject to amortization from the acquisition consist of customer relationships. The total weighted-average amortization period for these assets is 15 years, and the assets have no residual value.

The following table summarizes the preliminary fair values of the allocation of assets acquired and liabilities assumed, in aggregate, related to the Canton Galvanizing acquisition, as of the date of the acquisition (in thousands):

	July 1, 2025
Assets
Accounts receivable	$	1,474
Inventories	1,049
Property, plant and equipment	4,759
Goodwill	9,566
Intangibles and other assets	13,810
Total fair value of assets acquired	$	30,658
Liabilities
Accounts payable	(237)
Other accrued liabilities	(277)
Total fair value of liabilities assumed	$	(514)
Total purchase price, net of cash acquired	$	30,144