Home Depot Inc. may have to mark down the price of HD Supply as broader market jitters over debt slow private equity’s ability to finance such buyouts.
The home improvement retailer said
Thursday that it has begun talks with Bain Capital Partners, the Carlyle Group
and Clayton Dubilier & Rice to restructure the $10.3 billion sale of its
contractor supply division last June.
While the Home Depot didn’t report any further
details, the company issued a press release this morning that stated, “the discussions could result, among other things, in
material changes to the terms and financing of the transaction, including a
reduction in the $10.325 billion purchase price.”