The parent company of business supply retailers Office Depot and OfficeMax has reached a deal to be acquired by manufacturing and distribution conglomerate Atlas Holdings for approximately $1 billion, the companies announced Monday.
In addition to its retail operations, ODP Corporation also operates e-commerce supplier ODP Business Solutions and supply chain services provider Veyer. Atlas, the owner of construction supply distributor Bridgewell, wire product supplier IWG, steel company Orion and more than 25 additional companies, intends to pay $28 per share for the company.
ODP said that its board of directors has unanimously approved the transaction, which is subject to approval by the company’s shareholders and by antitrust regulators. The companies expect the deal to close by the end of the year.
Upon completion of the purchase, ODP Corporation would become a privately held company, and its shares would no longer be listed on the Nasdaq exchange.
“Atlas brings an understanding of our industry, along with the operational expertise, resources and track record of supporting its companies that will fast forward our B2B growth initiatives and strengthen our position as a trusted partner to our customers,” ODP CEO Gerry Smith said in the announcement. “Atlas’ commitment demonstrates their confidence in our future and the strong momentum we’ve achieved through our focus on operational excellence and disciplined execution.”
