Home Depot’s $5.5 Billion GMS Acquisition Brings Westside Legacy

The Home Depot has expanded its reach in the professional construction supply market through its acquisition of GMS Inc., a move that effectively brings the legacy of Westside Building Material into Home Depot’s growing pro distribution network. While Home Depot did not purchase Westside directly, Westside became part of GMS in 2021, and GMS is now operating under Home Depot’s subsidiary SRS Distribution.

Westside Building Material built its reputation as a major regional supplier of drywall, metal framing, ceilings, insulation, and related interior products. Its operations were folded into GMS Inc., which significantly expanded Westside’s footprint and distribution capacity across the western United States. With Home Depot’s acquisition of GMS now complete, those assets are positioned within a much larger national supply platform.

From a construction standpoint, this matters because it tightens the connection between big box retail scale and specialty materials distribution. GMS operates hundreds of distribution centers focused specifically on interior trade scopes, and those centers are built around jobsite delivery, credit programs, and contractor focused service. Integrating that model into Home Depot’s pro strategy signals a continued shift away from retail only workflows and toward full scale construction supply logistics.

For contractors, the practical impact shows up in material availability and delivery coordination. Drywall, steel studs, and ceiling systems are schedule sensitive items, and access to a broader distribution network can help reduce lead times and stabilize supply during peak demand. The added backing of Home Depot’s capital and systems also opens the door to expanded fleet capacity, inventory depth, and digital ordering tools aimed at professional users.

This acquisition also reinforces a larger trend across the industry. National retailers are moving deeper into specialty distribution as margins tighten and project schedules compress. By bringing GMS and the former Westside operations under the SRS umbrella, Home Depot is positioning itself closer to the daily realities of commercial and residential jobsite operations rather than just point of sale transactions.

As integration continues, contractors should expect gradual changes rather than overnight disruption. Branding, branch operations, and local relationships are expected to remain largely intact in the near term. Over time, the combined platform is likely to influence pricing structures, delivery capabilities, and how large contractors centralize procurement across regions.

For the construction industry, this move is another clear signal that materials supply is consolidating around fewer, larger platforms built to support scale, speed, and pro focused execution on active jobsites.

how much was the acquisition?

Home Depot’s acquisition of GMS Inc. — which brings in the business that previously included Westside Building Material as part of its network — was valued at about $5.5 billion in total enterprise value, including net debt. Home Depot’s subsidiary SRS Distribution agreed to buy GMS common stock for $110 per share in cash, and the deal closed in September 2025. Distribution Strategy Group