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| Home Depot sells HD Supply to private equity firms  Home Depot, the world's largest home improvement retailer, has approved strategic measures to enhance shareholder value. These measures include entering into an agreement to sell HD Supply and the execution of a recapitalization plan. Home Depot began a strategic review of HD Supply, the company's wholesale distribution division in February 2007. After a thorough review of alternatives, the board unanimously approved the sale of HD Supply to private equity firms Bain Capital Partners, The Carlyle Group and Clayton, Dubilier & Rice for $10.3 billion. The sale of HD Supply is expected to close in the third fiscal quarter of 2007.Home Depot's board of directors also authorized a $22.5 billion increase in its share repurchase program. The company will fund the repurchase with the net proceeds from the sale of HD Supply, existing cash on hand and the net proceeds from an anticipated $12 billion issuance of senior unsecured notes. The $22.5 billion share repurchase may be in the form of a tender offer, open market repurchases or accelerated share repurchases. write your comments about the article :: © 2007 Construction News :: home page |