Lowe’s Completes Acquisition Of Rona

Lowe's Companies has completed the acquisition of Canadian home improvement retailer Rona Inc., in a transaction valued at $2.4 billion.

A key step in accelerating Lowe's growth strategy, the acquisition creates one of the largest home improvement retailers in Canada, with 539 store locations. Lowe’s operates about 40 home centers in Canada. Rona operates a network of close to 500 corporate and independent affiliate dealer stores in a number of formats. Rona also operates nine distribution centers and owns the licensing rights and is the exclusive distributor of Ace in Canada.

"We are very pleased to welcome Rona and its talented team into the Lowe's family," said Richard Maltsbarger, Lowe's chief development officer and president of international. "This transaction significantly expands our presence in the Canadian market and provides attractive opportunities to drive revenue and profit growth while delivering meaningful long-term benefits to shareholders, customers, suppliers, employees and the communities we serve. We look forward to capitalizing on the significant potential created by bringing together our two great companies."

The Canadian operations are led by Sylvain Prud'homme, president and CEO of Lowe's Canada. "We are delighted to join forces with Rona's experienced team to take our businesses to the next level," said Prud'homme. "With the closing now behind us, we have hit the ground running and are focused on assuring a smooth transition."

As previously announced, as part of its acquisition of Rona, Lowe's said it remains committed to headquartering the Canadian businesses in Boucherville, Quebec; maintaining Rona's multiple retail store banners; enhancing distribution services; maintaining key executives from its leadership team; continuing its local and ethical procurement strategy; and continuing to support Canadian communities through Rona and Lowe's charitable and environmental initiatives.