This week, The Home Depot announced it is buying Interline Brands, a leading national distributor and direct marketer of broad-line maintenance, repair and operations (MRO) products.
The big-box retail chain is paying about $1.63 billion in cash in a deal expected to close by Nov. 1. The purchase is the company’s largest acquisition in nearly 10 years, according to The Wall Street Journal.
Buying Interline Brands is expected to improve Home Depot’s sales in the professional buying and repairs market, according to an article from The New York Times.
“Addressing the needs of our pro customers is a top priority for The Home Depot,” Craig Menear, chairman, CEO and president, says. “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 the store.”
Interline should add to Home Depot’s bottom line earnings in fiscal year 2015, according to the big-box retailer.
Interline Brands, which is based in Jacksonville, Florida, serves more than 175,000 customers in the institutional, multifamily housing and residential contractor markets. The company has a distribution network of more than 90 locations in the U.S., Canada and Puerto Rico and employs more than 1,600 sales and support staff, The New York Times article says.
To read a news release from Home Depot about the acquisition, click here.