The Home Depot to Acquire GMS Inc. for $5.5B

Building supply giant The Home Depot has locked another major link in its supply chain, announcing Monday its $5.5 billion acquisition of GMS Inc., a wholesale distributor of dry wall, steel framing and other building products based in Georgia.

The Atlanta-based is acquiring GMS through its specialty trade subsidiary, SRS Distribution, another wholesaler acquired by Home Depot last year for $18.25 billion. The GMS acquisition fits with Home Depot’s expanding emphasis on its Home Depot Pro distribution channel aimed at contractors, homebuilders and industrial supplies.