Home Depot Purchases Compact Power Equipment, Inc.
Home Depot and Compact Power leadership announced that Home Depot would be acquiring Compact Power Equipment on Thursday morning. According to the announcement, the purchase of $265 million is likely to be finalized by the end of Home Depot’s second fiscal quarter on July 30, 2017.
The merger is expected to provide Home Depot customers, both professional builders and do-it-yourselfers, with a seamless rental experience of tools and heavy equipment.
A History of Partnership in Equipment Rentals
Compact Power has been partnered officially with Home Depot since 2009. The partnership has allowed Compact Power to fulfill compact equipment rentals for the home improvement corporation and its customers. Rental operations have been conducted in over 1,000 Home Depot store locations throughout the United States and Canada.
Some of the construction rental equipment that Compact Power offers includes:
The Future of Compact Power and Home Depot
With the acquisition comes a few standard organizational changes. Roger Braswell, Compact Power’s Founder and CEO, will continue to work within the company in a role as a Strategy and Integration Advisor. Richard Porter, COO at Compact Power, will head the Rental and Services teams. CFO Norman Boling will act as a leader and advisor in the financial integration between the two corporations.
Home Depot’s CEO, Craig Menear, will serve as the top leadership for both companies.
What Does this Mean for Customers?
A unification of Home Depot and Compact Power definitely has its advantages. According to Menear, the acquisition of Compact Power will allow Home Depot to “further improve the customer experience” and “grow Compact Power’s best-class building services capabilities.” Rental customers can expect to see a more efficient way to rent the power tools and equipment that they need for projects of many different scales.