Building Products Distributor GMS Buys Kamco, Bolstering Presence In The New York City Area
Portfolio Pulse from Akanksha Bakshi
GMS Inc. (NYSE:GMS) has announced the acquisition of Kamco Supply Corporation, a building materials distributor in the New York City area, with the deal expected to close by April 30, 2024. Kamco, with $245 million in revenue for the 12 months ended June 30, 2023, will continue to operate under its brand post-acquisition. GMS plans to finance the acquisition through cash and credit lines, aiming to enhance customer service and cross-selling opportunities. GMS shares rose by 0.81% to $82.27 recently.
December 21, 2023 | 3:14 pm
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GMS Inc. has acquired Kamco, aiming to strengthen its presence in the New York City area. The acquisition is expected to enhance customer service and create cross-selling opportunities, potentially boosting GMS's market growth.
The acquisition of Kamco is likely to have a positive short-term impact on GMS's stock price as it expands the company's market presence and offers potential for increased revenue through cross-selling. The recent share price increase suggests a positive market reaction to the news.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100