In late 2025, Office Depot’s parent ODP Corp agreed to sell the company to private equity firm Atlas Holdings for about $1 billion. The deal pays $28 per share (a 34% premium) and will take Office Depot off the Nasdaq by year’s end.
It caps decades of decline: roughly 60 stores closed in the past year alone, leaving around 830 locations.
Rapid Store Closures
Office Depot’s footprint is shrinking fast. In one year, it shuttered about 60 stores, reflecting one of the sharpest contraction waves in retail. Brick-and-mortar office supply sales fell 6% in 2024, even as e-commerce surged to 24% of revenue.
Many towns losing an ODP store report both job cuts and the loss of a familiar shopping destination.
A Storied Rise and Fall
Founded in 1986 by F. Patrick Sher in Florida, Office Depot built itself into a retail powerhouse. By 2013, it merged with OfficeMax in a $1.17 billion deal, creating nearly 2,000 U.S. stores. For decades, it anchored back-to-school shopping and small-business supply chains.
Today, that dominance is eroding amid e-commerce competition and shifting work habits.
Industry in Steep Decline
The entire office-supplies industry has been contracting. U.S. retail revenue fell 5% in 2024 to about $11.5 billion, and analysts foresee another decline in 2025. Traditional store sales dropped 6% while online channels grew to 24% of the market.
As Circana analyst Ben Arnold notes, “The market faced headwinds in 2024, and 2025 has already presented a new set of challenges for consumers”.
Atlas Deal Secures Premium
In September 2025, Boca Raton–based ODP Corp agreed to an all-cash takeover by Atlas Holdings. The $1 billion deal ($28/share) offers a 34% premium to shareholders and will delist ODP by year-end. CEO Gerry P.
Smith said the transaction “provides a substantial premium” and will “fast-forward our B2B growth initiatives”, signaling a new direction.
Local Retail Impact
Closures have hit markets hard. In Atlanta, for example, Office Depot announced the upcoming shutdown of its long-time Edgewood Retail District store. That follows dozens of earlier closings in Buckhead, Snellville, and other metro areas.
Similar patterns are playing out nationwide as regional centers lose this anchor tenant and local workers face layoffs.
Job Losses and Community Mourning
The human cost is significant. Every shuttered store means dozens of jobs cut, and industry estimates suggest the total reductions number in the tens of thousands nationwide.
Many former employees and loyal customers mourn the loss: as one remarked, the downsizing feels like “the end of an era” for their community’s office supply needs.
Competitors Fill the Gap
As Office Depot retreats, competitors are stepping in. Amazon and Walmart now aggressively market office supplies online, and even grocery chains stock back-to-school aisles. Staples has shifted focus to business services, expanding its enterprise division.
Office Depot was late to adapt to this e-commerce wave, leaving in-person shoppers with fewer options.
Macro Trends Driving Decline
Broader shifts are pressuring all traditional retailers. U.S. office-supply sales dropped year-over-year, and forecasts predict a mild revenue decline through 2025. Factors like inflation and remote work mean fewer desks and contracts to supply.
Analysts say only retailers who cut costs and embrace digital channels will survive the downturn.
Shifting to B2B
[Mini-Nugget] Office Depot’s plan is to pivot toward bulk business sales. The company is doubling down on its ODP Business Solutions division and its logistics arm Veyer, which serves corporate clients.
Corporate buyers still need desks and paper en masse, and leveraging its distribution network may sustain growth even as retail traffic wanes.
Boardroom Split Decisions
Leadership tussled over strategy. In mid-2022, ODP’s board reversed an earlier plan to spin off its retail stores, concluding that separating the business would sacrifice bulk buying power and supply-chain synergies.
They decided to keep Office Depot and OfficeMax under one roof. Now, with privatization, the company can revisit structural changes free of quarterly earnings pressure.
Atlas Steps In, Uncertainty Ahead
Atlas Holdings, a Connecticut-based private equity firm, will take over by late 2025. Atlas, which owns dozens of manufacturing and service companies, has promised to invest in ODP.
Atlas partner Michael Sher praised Office Depot as “an iconic American company” and said Atlas’s experience will help “create long-term value”. Still, he conceded that reviving the retail side will be challenging.
Digital Push and Cost Cuts
ODP’s turnaround roadmap centers on digital and efficiency. Late in 2024, it rolled out a 15-minute curbside/in-store pickup promise and even partnered with Grubhub for deliveries, aiming to meet customers faster. At the same time, it is cutting costs by closing stores and streamlining operations.
Observers say these moves signal a leaner focus on online and B2B sales, though a full recovery is far from assured.
Analysts Issue Caution
Industry analysts remain skeptical. “The market faced headwinds in 2024, and 2025 has already presented a new set of challenges for consumers,” Ben Arnold of Circana warns.
He adds that the whole sector is “adjusting to long-term shifts in how and where people work, learn, and create”. In other words, success will hinge on bold execution and innovation to outpace these structural declines.
Future Hinges on Strategy
The big question is what comes next. Can privatization plus a B2B focus revive ODP’s fortunes? Retail experts say ODP’s prospects depend on innovation: expanding partnerships, tailoring products for hybrid workforces, and more.
If Atlas and ODP can execute faster than the market shrinks, the brand might stabilize; if not, Office Depot risks further fade-out from everyday retail life.
Policy and Community Questions
The Office Depot saga raises broader issues for communities. Cities with closed stores face more vacant anchor space to redevelop. Policymakers may need to help displaced retail workers retrain and rethink how to fill large empty storefronts.
The rise and fall of a retail giant like ODP highlights the risks to local economies when beloved stores disappear.
Global Market Perspective
Globally, the office supplies are mixed. Research firm Spherical Insights projects the $69 billion market (2024) to grow to $87.4 billion by 2035 (CAGR ~2.1%), driven by demand in developing regions. Asia and Europe, in particular, are expected to expand fastest as hybrid work and education sectors grow.
\Still, the pressures of digital shopping are felt everywhere, and ODP’s experience serves as a caution to retailers worldwide.
Sustainability and Legal Issues
There are also legal and environmental angles. Widespread closures pose questions about unsold inventory disposal and repurposing empty stores. On the plus side, ODP’s pivot to B2B and online orders might lower its carbon footprint.
Industry reports emphasize a shift toward eco-friendly products, and retailers that adapt sustainably may gain an edge even as traditional storefronts vanish.
Changing Work and School Rituals
For many Americans, Office Depot’s decline symbolizes a cultural shift. The classic back-to-school shopping trip is fading. Circana estimates roughly 35% of office-supply dollars are still spent in the third-quarter back-to-school season, but even that key period saw a slight revenue drop in 2025.
What used to be an afternoon mall run is now done online, signifying the end of an era.
A Cautionary Retail Tale
Office Depot’s story is more than a business footnote—it’s a bellwether for retail in a digital age. With privatization complete, the company will either adapt or continue its slide. Its fate will leave lessons on flexibility, customer focus, and the relentless pace of change.
In the end, ODP’s journey underscores how consumer habits reshape even the most established brands, closing a chapter on traditional office commerce.