Home improvement retailer Lowe’s has completed the acquisition of the home pro service provider Artisan Design Group (ADG) in a $1.32 billion deal.
The acquisition was announced earlier this year as part of Lowe’s strategy to grow its footprint.
Lowe’s plans to leverage Dallas-based ADG’s expansive network of distribution and installation services, which operate countrywide.
The home improvement giant aims to expand its services for home builders and property managers.
Marvin Ellison, Lowe’s chairman, president, and CEO, said: “We are pleased to complete this transaction and officially welcome the talented ADG team to Lowe’s.
“ADG has built an industry-leading position through consistent execution and outstanding customer service, earning strong customer satisfaction scores from the top homebuilders.
This acquisition positions us to accelerate our growth in Pro planned spend and expand into an adjacent distribution channel in a highly fragmented, approximately $50 billion market.”
ADG reported fiscal 2024 revenue of around $1.8 billion and runs around 12 distribution and design facilities across 18 states. The acquisition is set to be completed with cash from Lowe’s.
Steve Margolius, CEO of ADG, had previously said: “We are thrilled for ADG to join forces with Lowe’s.
“Our leading position in flooring, cabinets, and countertops, combined with Lowe’s scale and category breadth, will allow us to continue on our growth trajectory while providing an even more differentiated and comprehensive offering to the builders and property managers we serve today.”
The deal is a strategic move for Lowe’s, which will have a stronger foothold in the home construction supply chain industry.
Click here to sign up to Retail Gazette‘s free daily email newsletter
