The Home Depot will purchase HD Supply Holdings, a national distributor of maintenance, repair and operations (MRO) products, in a deal valued at $8 billion. The retailer plans to fund the transaction with cash on hand and debt, and expects it to be completed by Jan. 31, 2021.
“The MRO customer is highly valued by The Home Depot, and this acquisition will position the company to accelerate sales growth by better serving both existing and new customers in a highly fragmented $55 billion marketplace,” said Craig Menear, Chairman and CEO of The Home Depot in a statement. “HD Supply complements our existing MRO business with a robust product offering and value-added service capabilities, an experienced salesforce that enhances the strong team we have in place, as well as an extensive, MRO-specific distribution network throughout the U.S. and Canada.”
“We’re thrilled that our associates are joining the Home Depot team and that our customers will be able to benefit from a broader product assortment, expanded delivery options and enhanced services nationally,” said Joe DeAngelo, Chairman and CEO of HD Supply in a statement. “We are confident that this will position both The Home Depot and HD Supply for continued growth and success in the MRO distribution space.”