Home Depot Completes Major Acquisition to Bolster Professional Contractor Business

GMS US36251C1036

Home Depot has finalized the full integration of GMS Inc. into its corporate structure, a process that concluded successfully in February 2026. This move, executed through its subsidiary SRS Distribution, significantly strengthens the home improvement giant's footprint in the lucrative professional contractor market. Consequently, GMS has ceased to operate as an independent publicly traded company following its delisting from the New York Stock Exchange.

This acquisition represents a calculated strategic step for Home Depot. GMS, a specialist in drywall, ceiling systems, and steel framing, complements the company's earlier purchase of SRS Distribution in 2024. Together, they dramatically expand Home Depot's capacity to serve trade professionals. While the GMS brand will be maintained within the SRS organization, it will now leverage the extensive logistical network of its parent corporation.

The primary objective is to tap into new customer segments beyond the traditional DIY retail business. By consolidating expertise in roofing, landscaping, and now interior finishing, Home Depot is positioning itself as a comprehensive supplier for complex construction projects.

Transaction Details and Financial Outlook

The key financial terms of the deal were as follows:
* Share Price: A cash payment of $110.00 per share.
* Total Enterprise Value: Approximately $5.5 billion, which includes net debt.
* Tender Acceptance: The offer was accepted for roughly 79.5% of the outstanding shares.

From a financial perspective, the integration is expected to unlock substantial cross-selling opportunities and enhance delivery capabilities. Home Depot anticipates that, when adjusted for synergy effects, the acquisition will make a positive contribution to its adjusted earnings per share (EPS) within the first full year following completion.

With this integration finalized, Home Depot has addressed a significant gap in its commercial sector portfolio. The company's immediate focus for the current fiscal year is on realizing the planned cost advantages. Market observers are now awaiting upcoming quarterly reports to assess the operational performance and momentum of this newly expanded division.