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The Home Depot announced it has entered into an agreement for its specialty trade distribution subsidiary, SRS Distribution Inc. (SRS), to acquire GMS Inc. (GMS), a leading North American speciality building products distributor, for $5.5 billion.
“The Home Depot acquired SRS as a platform for growth, and SRS continues to demonstrate exceptional execution and strong performance,” says Ted Decker, chair, president and CEO of The Home Depot. “In our first year of working together, we’ve captured significant synergies, including cross-selling new products and service offerings to both Home Depot and SRS customers, advancing Home Depot’s enterprise trade credit program through the SRS platform and many other initiatives designed to drive the customer value proposition and operational efficiency. This success gives us confidence that the addition of GMS to the SRS platform will allow us to create even greater value for our customers.”
The acquisition of GMS will accelerate SRS’s vision of becoming a leading, multi-category building materials distributor.
“We are excited to join with SRS and The Home Depot, and we believe this transaction delivers significant value to our customers, suppliers and team,” says John C. Turner, Jr., president and CEO of GMS. “Since GMS’s founding, we have never strayed from our commitment to be the best distributor in our markets and provide outstanding service for our customers. We look forward to providing an even wider breadth of product offerings and services while delivering superior value to our professional contractor customers as part of SRS and The Home Depot family. We are confident that this transaction positions GMS to capitalize on the promising opportunities ahead and accelerate our growth.”
Turner, as well as his senior leadership team, will continue to lead GMS as part of the SRS organization.
