Lowe’s Quits Canada With Sale

Lowe's Companies, Inc. will sell its Canadian retail business to Sycamore Partners, a private equity firm specializing in retail, consumer, and distribution-related investments, for $400 million in cash and performance-based deferred consideration. Based in Boucherville, QC, Lowe's Canadian retail business operates or services approximately 450 corporate and independent affiliate dealer stores in a number of complementary formats under different banners– Lowe’s, RONA, Réno-Dépôt, and Dick's Lumber. "The sale of our Canadian retail business is an important step toward simplifying the Lowe's business model.  While this business represents approximately seven per cent of our full year 2022 sales outlook, it also represents approximately 60 basis points of dilution on our full year 2022 operating margin outlook," says Marvin R. Ellison, Lowe's chairman, president, and CEO. The transaction is expected to close in early 2023.