HD Supply sells off iPVF operation for $469 million

HD Supply is set to receive $469 million from the sale of its industrial Pipes Valves & Fittings business to Shale-Inland Holdings.

HD Supply’s 10-K report on the year ended Jan. 31, 2012, said that sales at the iPVF business rose 22.8% during the year—$130 million. That puts the iPVF operation’s sales in the past year at about $570 million.

Related story: Behind the deal: HD Supply & Shale-Inland 

While it’s not crystal clear, it would appear that some or all of the iPVF business came to HD Supply in its 2006 acquisition of Hughes Supply, which also came with significant parts of what is now HD Supply’s Electrical and Utility operations.

The sale of the iPVF operation is the third piece that HD Supply has sold off since Feb. 28, 2011. On that date, HD Supply Canada’s SESCO/QUESCO electrical distribution operation was sold to Sonepar Canada for roughly $11 million.

On Sept. 9, 2011, HD Supply sold its Plumbing/HVAC distribution operation to Hajoca Corp for about $116 million.

Given those facts, the sale of the iPVF business would seem to be the largest divestment by HD Supply thus far.

HD Supply remains a privately owned company, with the three acquirers—Bain Capital, The Carlyle Group and Clayton, Dubilier & Rice (which is also part of a group that owns the majority and controlling interest in Rexel SA).

The Home Depot is believed to remain the owner of 12.5% of the shares of HD Supply.

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