The Henry Repeater is one of the four repeaters, (Carbine, Winchester, Henry, & Evans) in the game. Of these it is the most powerful and has the second highest ammo capacity (12), behind the Evans Repeater (22).
The weapon is obtained by completing the Nosalida gang hideout.
Similar to the singleplayer, it can be obtained after saving Nosalida from a zombie invasion.
The Henry Repeater is unlocked into the player's regular inventory upon reaching rank 32.
The "Henry Hurter" weapon challenges are unlocked at the same level. Completion of these challenges turns the weapon golden for the player.
It can also be obtained by killing another player who has the weapon equipped.
It can be found on enemies in the Pike's basin gang hideouts, usually the reinforcements which arrive after the player sets the bombs for the crates (along with the Schofield and Double-Action Revolvers).
Although in the game the Henry is more powerful than the Winchester Repeater, the real life 1860 Henry, the ancestor of the Winchester lever-actions, fired a .44-25 rimfire cartridge decidedly less potent than the Winchesters' typical .44-40 and larger rounds.