BDT Capital Discloses Massive $2.9 Billion Stake in Alliance Laundry Stock

By Josh Kohn-Lindquist – Mar 9, 2026 at 2:01PM ESTKey PointsFollowing ALH's Q4 IPO, private equity firm BDT Capital now owns 140,751,696 shares of the company.Quarter-end position value rose by $2.86 billion, reflecting the addition of the new stake.The ALH position accounted for 90.17% of reportable assets under management at quarter-end.Post-trade, the fund held 140,751,696 ALH shares valued at $2.86 billion.The ALH position represents 90.17% of BDT Capital Partners’ 13F assets, making it the fund’s largest holding by dollar value.What happenedIn a quarterly disclosure filed with the U.S. Securities and Exchange Commission (SEC filing) on Feb. 17, 2026, BDT Capital Partners reported acquiring 140,751,696 shares of Alliance Laundry Holdings (ALH +1.57%). This new position was established with an estimated transaction value of $2.86 billion, based on the average closing price during the quarter. The quarter-end value of the stake also totaled $2.86 billion, reflecting both the share accumulation and any price changes over the period.What else to knowThis was a new position for BDT Capital Partners; the ALH stake represented 90.17% of the fund’s reported U.S. equity assets as of Dec. 31, 2025Top holdings after the filing:Alliance Laundry: $2.86 billion (90.2% of AUM)Under Armour: $312.24 million (9.8% of AUM)Cibus: $110,333 (0.0% of AUM)As of March 6, 2026, ALH shares were trading at $20.76, down 6% from its October 2025 IPO price.Company overviewMetricValuePrice (as of market close 2026-03-09)$20.76Market Capitalization$4.28 billionRevenue (TTM)$1.62 billionNet Income (TTM)$118.22 millionCompany snapshotAlliance Laundry:Designs, manufactures, and sells commercial laundry washers, dryers, service parts, digital products, and customer financing solutions.Generates revenue through equipment sales, parts, and value-added services distributed via a network of distributors and direct channels.Serves healthcare facilities, hotels, laundromats, communal laundry sites, fire stations, and other commercial customers in North America and internationally.Alliance Laundry Holdings is a leading provider of commercial laundry equipment and related services, with a diversified product portfolio and a broad customer base. The company leverages a network of distributors and direct sales to reach institutional and commercial clients. Its established market presence positions it as a key player in the commercial laundry industry.What this transaction means for investorsThis recent disclosure from private equity firm BDT Capital is, in general, a fascinating situation. The PE firm scooped up Alliance Laundry from the Ontario Teachers’ Pension Plan in 2015 and brought the company public in October last year. This extends a pretty good run for PE firms taking businesses over only to spin them back out on the public markets years later. While we don’t know exactly how much of ALH stock BDT will continue to hold, it currently owns 71% of Alliance Laundry’s shares. It will be interesting to watch and see what they do over the next few quarters.As for the stock itself, I try not to get involved in new IPOs for at least a year or so, as I want more information from the companies and want to give them time to settle in as publicly traded stocks. That said, Alliance Laundry is the No. 1 player in its niche and is twice the size of its next-largest peer. It holds a 40% market share of the North American commercial laundry market and has grown sales by 10% annually since 2010.While its leadership positioning and steady growth are promising, the company trades at an EV/EBITDA ratio of 16, so it isn’t deeply discounted by any means, especially given its hefty 3.1 times debt-to-EBITDA ratio. I’m intrigued by the stock but would like to give it some more time, especially given the risk that BDT gradually unwinds its massive stake in the company, which could put further pressure on the stock’s share price. This is one where I just want to see the smoke clear and see how things look after.About the AuthorJosh Kohn-Lindquist is a contributing Motley Fool stock market analyst covering consumer goods, industrials, and technology stocks. Previously, Josh was a senior mutual fund accountant at Gemini Fund Services. He holds a bachelor’s degree in business management from the University of South Dakota.TMFJorykoX@JorykoliStocks MentionedAlliance LaundryNYSE: ALH$21.09(+1.57%)+$0.33*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.