Home Depot buying HD Supply in deal valued at $8 billion

Home Depot is buying HD Supply Holdings Co. in a deal valued at about $8 billion.

A subsidiary of Home Depot Inc. will pay $56 per share for HD Supply’s common stock.

HD Supply is a distributor of maintenance, repair and operations products in the multifamily and hospitality end markets.

Home Depot Chairman and CEO Craig Menear said in a statement that the acquisition will give it access to HD Supply’s extensive, maintenance, repair and operations-specific distribution network throughout the U.S. and Canada.

The transaction is expected to close during Home Depot’s fiscal fourth quarter.

Home Depot, based in Atlanta, will report its quarterly earnings on Tuesday. Shares rose slightly in Monday premarket trading.