Home » Home Depot in Talks to Restructure HD Supply Deal
Home Depot in Talks to Restructure HD Supply Deal
August 9, 2007
The Home Depot, Atlanta, GA, announced it is in discussions with Bain Capital Partners, The Carlyle Group and Clayton, Dubilier & Rice with the aim of restructuring their agreement for the sale of HD Supply.   ; These discussions could result, among other things, in a reduction in the $10.3 billion purchase price. The announcement  ; may be a result of tightening credit markets,  ; which would make it more difficult to raise the cash needed to buy the unit.
No other details on the discussions were released.   ; In mid-June, Home Depot announced it would sell its wholesale division, a $12 billion unit, to the trio of private equity firms for roughly 10X-12X EBITDA. Read the original article here.
Order the CD and transcript from MDM's recent audio conference to gain more perspective on how HD and other big players' moves have affected  ; the market and the impact of outside investment on the channel. Also available, a Special Report on M & A, which includes a compilation of MDM reporting on activity in the distribution sector.