Hughes Supply
Encyclopedia
Hughes Supply Incorporated was a very large wholesaler of construction supplies operating in 40 of the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...

 and two Canadian
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...

 Provinces. In January 2006, Home Depot announced that it was acquiring Hughes Supply in a $3.2 billion deal. Hughes Supply was integerated into the Home Depot division known as HD Supply
HD Supply
HD Supply is a leading wholesale distribution company, providing a broad range of products and services to professional customers in the infrastructure & energy, maintenance, repair & improvement and specialty construction markets. With a diverse portfolio of industry-leading businesses, HD Supply...

. Thereafter in June 2007, Home Depot sold their supply unit for 10.3 billion, to a consortium of three private equity firms, The Carlyle Group, Bain Capital
Bain Capital
Bain Capital LLC is a Boston-based private equity firm founded in 1984 by partners from the consulting firm Bain & Company. Originally conceived as an early-stage, growth-oriented investment fund, Bain Capital today manages approximately $65 billion in assets, and its strategies include private...

 and Clayton, Dubilier and Rice (with each agreeing to buy a one-third stake in the division). Home Depot sold their wholesale construction supply business, HD Supply
HD Supply
HD Supply is a leading wholesale distribution company, providing a broad range of products and services to professional customers in the infrastructure & energy, maintenance, repair & improvement and specialty construction markets. With a diverse portfolio of industry-leading businesses, HD Supply...

 to fund a stock repurchase estimated at $40 billion. HD supply did not change their name back to Hughes so the HD in HD supply is now known as Heart and Dedication or Huge Discounts.

Hughes major operation was in the Southeast
Southeastern United States
The Southeastern United States, colloquially referred to as the Southeast, is the eastern portion of the Southern United States. It is one of the most populous regions in the United States of America....

 and Southwest
Southwestern United States
The Southwestern United States is a region defined in different ways by different sources. Broad definitions include nearly a quarter of the United States, including Arizona, California, Colorado, Nevada, New Mexico, Oklahoma, Texas and Utah...

 of the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...

. Its primary clients were professional customers, who mainly buy in bulk. Hughes operated through three business segments: Electrical and Plumbing (electrical and electric utility products, HVAC products), Water & Sewer/Building Materials (water and sewer products, building materials, maintenance supplies, fire protection products, concrete products), and Industrial (industrial pipes, valves, and fittings).

Using acquisitions to fuel its growth geographically and expand its product breadth, in 2004 Hughes Supply acquired Las Vegas-based Standard Wholesale (plumbing and electrical supplies), Todd Pipe & Supply (one of the largest independent plumbing supply wholesalers in the Las Vegas and southern California markets) and Southwest Power/Western States Electric (utilities).

See also

  • HD Supply
    HD Supply
    HD Supply is a leading wholesale distribution company, providing a broad range of products and services to professional customers in the infrastructure & energy, maintenance, repair & improvement and specialty construction markets. With a diverse portfolio of industry-leading businesses, HD Supply...

  • Home Depot
  • The Carlyle Group
  • Bain Capital
    Bain Capital
    Bain Capital LLC is a Boston-based private equity firm founded in 1984 by partners from the consulting firm Bain & Company. Originally conceived as an early-stage, growth-oriented investment fund, Bain Capital today manages approximately $65 billion in assets, and its strategies include private...

  • Clayton, Dubilier and Rice
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