Distributors

Home Depot Acquires Distributor in Billion Dollar Deal

ATLANTA, Ga. — The Home Depot® has announced its entry into a definitive agreement to acquire Jacksonville, Fla.-based Interline Brands, Inc., a leading national distributor and direct marketer of broad-line maintenance, repair and operations (MRO) products.

Under the terms of the agreement, The Home Depot will acquire Interline for $1.625 billion in cash, subject to customary adjustments. The acquisition, which has been approved by the shareholders of Interline, is expected to be completed during The Home Depot’s fiscal third quarter, which ends on November 1, 2015. The deal is subject to applicable regulatory approval and other customary closing conditions.

Chairman, CEO and President of the Home Depot, Craig Menear, said in a statement that bringing on board the “seasoned leadership team” of Interline “will enhance our ability to serve the Pro — both in store and at any desired location outside of the store — driving significant value for our customers and shareholders.”

Interline is able to deliver directly to customers and their job sites, using 500 trucks around the country on a daily basis. Home Depot officials say that will help the company bolster the service it gives to its special Pro customers, who are contractors and other professionals.

“Addressing the needs of our Pro customers is a top priority for The Home Depot,” said Menear. “Interline is a well-run company that has achieved impressive financial results over the last few years. With their seasoned leadership team, we will enhance our ability to serve the Pro – both in the store and at any desired location outside of the store – driving significant value for our customers and shareholders.”

“We think the partnership with The Home Depot adds tremendous capabilities and skills to our business, so there are not plans for personnel reductions as a result of this transaction,” said Michael Grebe, chairman & CEO, Interline. “This is all about growth — becoming more relevant, stronger and capable for our customers.”

Interline boasts almost $2 billion in annual sales and employs about 4,500 with an extensive distribution network of more than 90 locations throughout the U.S., Canada and Puerto Rico.

 

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