GMS Inc., a leading North American specialty building products distributor, has entered into an agreement to acquire Kamco Supply Corporation and affiliates. The transaction is expected to close during the Q4 of fiscal 2024 for GMS, which ends on April 30, 2024.
Founded in 1939 by the Swerdlick family, and headquartered in Brooklyn, New York, Kamco is a leading supplier of ceilings, wallboard, steel, lumber, and other related construction products. The Company operates five distribution facilities in the Greater New York City area and services the New York metro and tri-state area. For the 12 months ended June 30, 2023, Kamco recorded revenues of approximately $245 million.
GMS expects to fund this transaction with cash on hand and borrowings under the Company’s established revolving credit facility.
Following the close of the transaction, Kamco’s current President, Mr. Little and its senior leadership team, will continue to lead the business and the Company will continue to operate under the “Kamco” brand as it has for over 80 years.
GMS expects to capitalize on cross-selling opportunities with Kamco and GMS’s other operations in the region, including the recently acquired Tanner Bolt and Nut, Inc. business. Expanded Wallboard distribution and Complementary Products expansion present compelling opportunities for the company to better capitalize on potential growth in the market and provide an even higher level of service to customers.
The transaction is expected to close in the Q4 of GMS’s fiscal year 2024, subject to the satisfaction of customary closing conditions, including HSR approval.
