DALLAS and ATLANTA --The Home Depot announced Oct. 29 it had finalized the $924.9 million acquisition of U.S. Home Systems Inc. (USHS), a provider of kitchen and bath cabinet refacing products as well as closet and garage organizational systems
A statement by the company said the deal was approved at a special meeting by USHS stockholders on Oct. 26. USHS is now an indirect wholly owned subsidiary of The Home Depot.
"The Home Depot has had a long-standing relationship with USHS. By formally bringing USHS into The Home Depot family, we expect to further enhance our customers' home service experience," Kevin Hofmann, senior vice president-Home Services, The Home Depot, said in a statement.
"The USHS board of directors conducted a thorough review of the company's alternatives to enhance stockholder value, and we are pleased that this transaction appropriately recognizes the value of USHS' relationships and solutions, while providing our stockholders with an attractive cash premium for their investment," Murray H. Gross, president, CEO & chairman, USHS, added.
The proposed acquisition was originally announced August 7. Under the terms of the agreement, The Home Depot acquires USHS for $12.50 per share in cash.
Based in Irving, TX, USHS has more than 1,000 employees and more than 40 branch offices nationwide. It is an exclusive provider of products to The Home Depot, including kitchen cabinet refacing products, bathroom tub liners and wall surround products and home organization systems for closets and garages. USHS also manufactures its own line of kitchen and bath cabinetry.
The Home Depot is reportedly the largest home improvement specialty retailer with more than 3000,000 employees and 2,250 retail stores througout the United States and its territories, plus Canada and Mexico. The Atlanta-based company reported fiscal 2011 sales of $70.4 billion and earnings of $3.9 billion.
Have something to say? Share your thoughts with us in the comments below.