Business

Lowe’s gets approval from Canadian regulators to buy Rona

This March 25, 2014 file photo shows a Lowe's store in Philadelphia.
This March 25, 2014 file photo shows a Lowe's store in Philadelphia. AP

Mooresville-based Lowe’s said Friday that it received approval from Canadian regulators to buy rival home improvement retailer Rona.

The company said it expects the deal to close next week.

Lowe’s announced it was buying Rona in February for about $2.3 billion. It previously tried to buy Rona in 2012, but that deal fell through.

By acquiring Rona, Lowe’s will increase its business in Canada. Lowe’s has more than 40 stores in the country, while Rona Inc. has nearly 500. U.S. rival The Home Depot Inc., which is based in Atlanta, has about 180 Canadian stores.

This is the third corporate acquisition or divestiture move for Lowe’s in recent years. In 2013, Lowe’s bought California-based Orchard Supply Hardware, a 72-store chain, for $205 million. And in January, Lowe’s announced plans to sell off its stake in a joint venture that operates Masters Home Improvement stores in Australia. Staff writer Ely Portillo contributed.

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