Office Depot Moves on $1B Buyout of Texas Firm
Office Depot (ODP) moved forward on a $1 billion buyout of CompuCom an IT services firm based in Plano, Texas. ODP is using $750mm in debt and 45 million shares to complete the transaction. ODP stated the deal would add $1.1 billion of revenue and provide greater than $40 million in cost synergies within two years. ODP also lower guidance to expects adjusted operating income to be between $400 million and $425 million in 2017.