Subsequent Events

6 Months Ended

Oct. 31, 2017

Subsequent Events

Subsequent Events

12. Subsequent Events

On December 1, 2017, the Company granted 63,750 stock options and 21,766 restricted stock units to employees pursuant to its Equity Incentive Plan. The stock options vest ratably over a three-year period, have a 10‑year term and have a fair value of $12.81. The restricted stock units vest ratably over three years and have a fair value of $37.49. The fair value of the stock options was estimated using the Black-Scholes valuation model, and the fair value of restricted stock units was determined based on the closing price of GMS’s common stock on the date of grant. Total unrecognized compensation cost related to this grant is $1.6 million, which will be recognized over three years.

On December 4, 2017, the Company acquired Southwest Building Materials, Ltd. (“SWBM”). SWBM distributes wallboard, Armstrong ceiling products and other interior building products from a single location in Amarillo, Texas.