Sport Investors League
  • Politics
  • Stocks
  • Investing
  • Business

Sport Investors League

  • Politics
  • Stocks
  • Investing
  • Business
Business

Home Depot is buying GMS for about $4.3 billion as retailer chases more home pros

by admin July 1, 2025
July 1, 2025
Home Depot is buying GMS for about $4.3 billion as retailer chases more home pros

Home Depot said Monday that it is buying GMS, a building-products distributor, for about $4.3 billion as the retailer moves to draw more sales from contractors and other home professionals.

Shares of Home Depot were roughly flat in early trading Monday. GMS shares jumped more than 11%.

As part of the deal, the Home Depot-owned subsidiary SRS Distribution will buy all outstanding shares of GMS for $110 per share, which adds up to about $4.3 billion and amounts to total enterprise value including net debt of about $5.5 billion, the company said.

Home Depot said it expects the acquisition to be completed by early 2026.

Home Depot’s announcement also concludes a potential bidding war between the big-box retailer and billionaire Brad Jacobs. Jacobs’ building-products distributor QXO had offered about $5 billion in cash to acquire GMS and said it would press forward with a hostile takeover if the company’s management rejected the proposal.

As Home Depot chases growth, it’s gone after a steadier and more lucrative piece of the home improvement business: electricians, roofers, home renovators and other professionals who tackle large projects year-round and need a lot of supplies. Home Depot said it’s speeding along that strategy with the GMS deal.

Home Depot bought SRS Distribution — the subsidiary that’s acquiring GMS — last year for $18.25 billion, in the largest acquisition in its history. Texas-based SRS sells supplies to professionals in the landscaping, roofing and pool businesses and it has bought up many other smaller suppliers as it’s grown.

Home Depot’s focus on selling to professionals is well-timed. Sales from do-it-yourself customers have slowed as higher mortgage rates have decreased housing turnover and dampened homeowners’ demand for larger projects because of higher borrowing costs.

The company said it expects total sales to grow by 2.8% for the full fiscal year and comparable sales, which take out the impact of one-time factors like store openings and calendar differences, to rise about 1%.

This post appeared first on NBC NEWS

0
FacebookTwitterGoogle +Pinterest
previous post
Google makes first foray into fusion in venture with MIT spinoff Commonwealth Fusion Systems
next post
Crypto Market Recap: Metaplanet Buys 1,005 Bitcoin, REX to Launch Solana Staking ETF

Related Posts

Starbucks moves to the next phase in its...

June 17, 2025

OpenAI considering 16 states for data center campuses...

February 8, 2025

Walgreens doubles down on prescription-filling robots to cut...

May 13, 2025

Treasury delays deadline for small businesses to file...

December 28, 2024

The trucking industry hits the brakes with tariffs...

April 28, 2025

Amazon and Nvidia say AI data center demand...

April 25, 2025

Hiring stays strong for low earners — while...

June 1, 2024

Private equity firms circle Peloton for potential buyout

May 8, 2024

IBM pledges $150 billion to boost U.S. tech...

April 30, 2025

Google loses antitrust case over search

August 7, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent

    • A Wild Ride For the History Books: 2025 Mid-Year Recap

      July 24, 2025
    • Is META Breaking Out or Breaking Down?

      July 24, 2025
    • Details of Trump’s highly anticipated AI plan revealed by White House ahead of major speech

      July 24, 2025
    • Iran doubles down on refusal to end nuclear program, ready for war with Israel

      July 24, 2025
    • Johnson erupts over ‘dangerous’ Biden ‘cover-up’ as Democrats push Epstein disclosure

      July 24, 2025

    Categories

    • Business (1,032)
    • Investing (2,680)
    • Politics (3,300)
    • Stocks (1,152)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: sportinvestorsleague.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 sportinvestorsleague.com | All Rights Reserved