The Home Depot on Thursday announced a $265 million deal to buy Charlotte-based Compact Power Equipment.
The agreement, a cash purchase, is intended to integrate Compact’s business in equipment rental and maintenance, services that are pitched at the “core customers” of Atlanta-based Home Depot, according to a statement by the company.
The company provides rentals at more than 1,000 stores and sells maintenance services to a number of customers, including $95 billion-a-year Home Depot, which has more than 400,000 employees.
Compact has 700 employees, dispersed across the United States and Canada.
“We don’t anticipate layoffs,” said Stephen Holmes, Home Depot spokesman in an email. “Many of their associates are already well known at our stores, and we’re looking forward to welcoming them into the Home Depot family.”
HOME DEPOT GOING TO START BUILDING STORES. SLOWLY.
The idea is to keep growing the company’s “Pro” business, which is focused on more intense and expert users of tools, Holmes said. “The expertise of Compact Power’s associates are a key part of that strategy.”
The deal is expected to be complete by the end of the company’s current fiscal quarter at the end of July.
This was Home Depot’s first significant purchase in two years.
In July 2015, Home Depot made its largest acquisition, a $1.625 billion, cash deal to buy Interline Brands.
See also:
HOME DEPOT GOING TO START BUILDING STORES. SLOWLY.
HOME DEPOT UNDER FIRE FOR LEAD PAINT REMOVAL
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