SAN JOSE, CA – Lowe’s Companies, Inc. (NYSE: LOW), announced an asset purchase agreement with a bankrupt home improvement center chain, Orchard Supply Hardware.
Lowe’s will acquire the majority of Orchard’s assets for approximately $205 million in cash, plus the assumption of payables owed to most of Orchard’s supplier partners.
Lowe’s says it will convert the stores to a new format and operate them as a separate, standalone business, retaining Orchard Supply Hardware under the current management team. Based in San Jose, CA, Orchard Supply's 91 stores did $657 million in revenue last year. Lowe’s would acquire at least 60 of them.
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