Home Depot completed a $5.5 billion acquisition of building material distributor GMS Inc. to target professional contractors. The company announced the deal on September 4th after first mentioning it in June. This acquisition was made through its subsidiary, SRS Distribution Inc., previously acquired in an $18 billion deal in March 2024. GMS offers specialty building products like drywall and steel framing.

According to Home Depot, the acquisition of GMS will provide more fulfillment and service options for professional contractors. Home Depot’s president and CEO, Edward “Ted” Decker, emphasized the company’s goal to serve professionals across their entire project. GMS, with over 300 distribution centers in the US and Canada, will continue operating independently under Home Depot’s ownership.

SRS Distribution operates as a separate entity within Home Depot to cater to professional customers. The focus is on growing the company’s share of wallet with contractors for projects of all sizes. The deal with GMS involved a $110 per share payment in cash to make GMS a direct subsidiary of SRS and an indirect subsidiary of Home Depot.

Read more at Yahoo Finance: Home Depot acquires building material distributor GMS in $5.5 billion deal