Wednesday, August 29, 2007
© Copyright 2013
Gwinnett Daily Post
ATLANTA - The Home Depot Inc. said Tuesday it has agreed to sell its wholesale distribution business to private equity groups for $8.5 billion - about $1.8 billion less than originally agreed.
The announcement comes after several days of intense negotiations to preserve the deal, even at a lower price. The sale price as announced in June was $10.3 billion. But tightening credit conditions and a rocky housing market led to renegotiation. As part of the amended terms, Home Depot will purchase a 12.5 percent equity interest in the whole business for $325 million and will guarantee a $1 billion senior secured loan of HD Supply, a business that serves construction contractors. The sale is scheduled to take place on Thursday. The buyers include affiliates of Bain Capital Partners, the Carlyle Group and Clayton, Dubilier & Rice.More like this story
- Home Depot completes $8.5B sale of HD Supply ( August 31, 2007 )
- Home Depot exec resigns following HD Supply sale ( September 1, 2007 )
- Home Depot sales rise as investors await word on possible sale of wholesale unit ( August 28, 2007 )
- Closing date of HD Supply sale extended by a week ( August 16, 2007 )
- Sources: Yankee Candle's owners explore sale, hire banks ( March 12, 2013 )
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