Private equity owners of HD Supply announced their plan of selling the industrial distribution company, which they acquired from Home Depot Inc. in a $8.5 billion deal, through initial public offering (IPO), citing three sources familiar with the matter.

The people said that Dubilier & Rice, Carlyle Group and Bain Capital are in now in the move to conduct interview with investment banks in an attempt to choose underwriters for the proposed IPO of HD Supply, which they bought in 2007.

Performance of HD Supply has been seen to have significant improvement in recent years as residential and commercial construction continues to recover from the bite of world's financial crisis.

The distribution firm is one of the largest distributors of supplies for the construction, industrial and maintenance industries in North America.

The three buyout firms were not available for the comment on the deal.

Home Depot, which still has 12.5 holding in HD Supply which it maintained since the buyout, remained silent on the IPO.