Lowe’s Companies, Inc. has successfully completed its acquisition of Foundation Building Materials (FBM), a company with over 370 locations across the United States and Canada. The acquisition is expected to enhance Lowe’s offering to pro customers through an expanded product assortment, faster fulfillment, improved digital tools, and a robust trade credit platform.
The acquisition of FBM presents significant growth opportunities for Lowe’s to expand its pro footprint, particularly in key geographies like California, the Northeast, and the Midwest. It also creates significant cross-selling opportunities between FBM and Lowe’s, as well as the recently acquired Artisan Design Group (ADG).
Marvin R. Ellison, Lowe’s Chairman, President, and CEO, emphasized that the acquisition of FBM is a crucial step in accelerating Lowe’s total home strategy to serve large pro customers within a $250 billion total addressable market. The company aims to capitalize on the expected recovery in the housing market, with an estimated 16 million new homes needed in the U.S. by 2033.
Lowe’s also highlighted its expectation to drive more sustainable sales and profit expansion, as well as deliver long-term shareholder value by expanding its pro penetration.
FBM will continue to be led by its founder, Ruben Mendoza, and its senior leadership team, with over 200 years of combined industry experience, working alongside Lowe’s to maintain outstanding service for their pro customers.
As of fiscal year 2024, Lowe’s reported total sales of more than $83 billion, operating over 1,700 home improvement stores and employing approximately 300,000 associates. Today the company's shares have moved -0.96% to a price of $237.59. For more information, read the company's full 8-K submission here.
