Newsline

Home Depot Considers Sale of HD Supply

February 26, 2007
/ Print / Reprints /
ShareMore
/ Text Size+

ATLANTA - Just over a year ago, Home Depot completed its $3.2 billion purchase of Orlando, Fla.-based Hughes Supply Inc., a distributor of HVAC, construction, repair, and maintenance products. Now it is considering selling it off, as well as its entire Home Depot Supply division.

The announcement followed a decision earlier in February by the Atlanta-based company to give a seat on its board to an investment group that wants Home Depot to consider, among other things, a leveraged buyout of the entire company as a way to generate shareholder value.

According to an Associated Press report, the group, Relational Investors LLC, had threatened a proxy fight over the home-improvement company’s strategic direction, part of an undercurrent that led to the resignation of former CEO Bob Nardelli in early January after six years at the helm of the company.

Frank Blake, who replaced Nardelli as CEO, said the announcement regarding the possible sale of HD Supply was part of a strategic review the company conducted in November of last year.

The purchase of Hughes Supply last year was Home Depot’s largest acquisition ever. It doubled the size of the HD Supply division, which has annual revenues of approximately $12 billion, has nearly 1,000 locations nationwide and in Canada, and employs more than 26,000 associates, the company said.

Publication date: 02/26/2007

Did you enjoy this article? Click here to subscribe to The NEWS Magazine

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

2014 MCAA Annual Convention

Scenes from the 2014 MCAA Annual Convention in Scottsdale, Ariz.

Podcasts

NEWSmakers: Julian Scadden

Training is an ongoing process. Julian will discuss how you can generate maximum return on time and energy invested training by following a three part process. Listen to this podcast to get expert tips on training, tracking and follow up. 

More Podcasts

THE MAGAZINE

ACHRNEWS

NEWS 04-14-14 cover

2014 April 14

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

SERVICE CALLS POLL

Which statement on service calls best applies to your business?
View Results Poll Archive

HVACR INDUSTRY STORE

plumbing-hvac.gif
2014 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research

 

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

DON'T MISS A THING

Magazine image
 
Register today for complete access to ACHRNews.com. Get full access to the latest features, Extra Edition, and more.

STAY CONNECTED

facebook icontwitter iconyoutube iconLinkedIn i con