Home Depot completes acquisition of GMS through SRS, expanding its pro network with 1,200+ locations and 8,000+ delivery trucks to boost contractor service.
Home Depot acquisition of GMS Completes — A Major Bet on the Pro Market
The Home Depot has completed a major home depot acquisition, finalizing the purchase of GMS Inc. (Gypsum Management & Supply) through its SRS Distribution subsidiary in a deal valued at roughly $4.3 billion in equity (about $5.5 billion including net debt). The transaction — executed as a cash tender offer at $110.00 per share — closed on September 4, 2025, after the offer satisfied all conditions and secured roughly 79.5% of outstanding GMS shares.
This home depot acquisition pairs GMS’s specialty building-products footprint (drywall, ceilings, steel framing and related products) with SRS Distribution’s broad service platform. The combined operation will aim to create an expansive pro-focused supply network — management says the deal brings together more than 1,200 locations and a fleet of over 8,000 daily delivery trucks to better serve contractors across residential and commercial markets.
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Why the deal matters for U.S. contractors and trade professionals
Home Depot’s strategy behind the home depot acquisition is clear: accelerate growth in the professional contractor segment, a large and recurring revenue market distinct from DIY retail shoppers. With the SRS + GMS combination, Home Depot is positioning to offer deeper product assortments, faster jobsite delivery, and enhanced digital/fulfillment capabilities tailored to pro customers — an area the company has prioritized following its 2024 SRS purchase.
Financial and market details
Under the terms announced earlier this summer, Home Depot’s cash offer of $110.00 per share represented a premium to GMS’s recent trading levels and followed a competitive process that included rival bids. The equity portion of the transaction is roughly $4.3 billion, rising to about $5.5 billion when accounting for GMS’s net debt — figures the company and analysts have widely reported. Investors reacted to the news with a notable uptick in GMS shares prior to closing; Home Depot’s shares saw a modest pullback amid the sizable outlay.
What Home Depot says — and what to expect next
In corporate filings and the official release, Home Depot emphasized that all tender-offer conditions were met and that it expects the integration to expand its service footprint for professional customers. Company statements highlight an emphasis on operational integration while maintaining service continuity for GMS customers and employees. Management has also signaled investments in digital tools and fulfillment to leverage the larger network created by this home depot acquisition.
For pro customers, the immediate benefits may include broader product access, streamlined delivery scheduling, and bundled services across more locations. Residential shoppers may see less direct impact, but the move underscores Home Depot’s dual approach — continue serving DIY customers while aggressively growing the higher-margin professional business. Competitors and distributors will likely reassess regional strategies as the combined SRS-GMS network aims to enhance national scale.
Regulatory and employment notes
The tender offer closed after the companies completed the required filings and disclosures with the SEC, and Home Depot has stated that it will honor contractual and employment commitments through the transition. Shareholders who did not tender received the same cash value in the merger closing. Observers will be watching for integration announcements, possible network realignments, and any regulatory notices that could surface as the combined operations consolidate logistics and branch networks.
Home Depot acquisition (Summery)
This home depot acquisition of GMS marks another bold step by The Home Depot to scale its professional distribution capabilities. By folding GMS into SRS Distribution, Home Depot gains specialized product lines, expanded delivery capacity and a larger national footprint — an investment intended to deepen ties with contractors and secure a larger slice of the pro market over the coming years. Customers, competitors and industry analysts will be tracking how quickly Home Depot turns scale into improved service and profitability.