Home Depot announced it will acquire building products distributor GMS for $4.3 billion through its subsidiary SRS Distribution, aiming to expand sales to professional contractors.

The deal, expected to close by early 2026, ends a potential bidding war with billionaire Brad Jacobs’ QXO. GMS shares rose 12% on the news, while Home Depot shares dipped nearly 1%.

The acquisition aligns with Home Depot’s strategy to focus more on professional customers as DIY sales slow, CNBC has reported.

The company projects 2.8% total sales growth and a 1% rise in comparable sales for the fiscal year.

Written by B.C. Begley