Lowe’s Announces Agreement to Acquire Artisan Design Group

Lowe’s Companies, Inc. announced it has entered into a definitive agreement to acquire Artisan Design Group (“ADG”) for $1.325 billion.

ADG is a leading nationwide provider of design, distribution and installation services for interior surface finishes, including flooring, cabinets and countertops, to national, regional and local homebuilders and property managers. Through a combination of organic growth and a series of targeted acquisitions that extended its capabilities and footprint, ADG has built an industry leading position. With fiscal 2024 revenue of approximately $1.8 billion, a national network of over 3,200 specialized installers and long-standing relationships with single-family and multifamily homebuilders as well as property managers, ADG will expand Lowe’s Pro offering into a new distribution channel within a highly fragmented, approximately $50 billion market.

“With more than 18 million homes needed in the United States by 2033¹, we expect new home construction will be a major driver of Pro planned spend for the next decade. The acquisition of ADG allows us to build on our momentum with Pro planned spend and is expected to expand our total addressable market by approximately $50 billion,” said Marvin R. Ellison, Lowe’s chairman, president and CEO. “With its strong, customer-centric operating model, ADG has become an industry leader with best-in-class customer satisfaction scores from the top builders in the U.S.  We look forward to welcoming the ADG team to Lowe’s, and, through our combined capabilities, enhancing our offering to our expanded Pro customer base.”

“We are thrilled for ADG to join forces with Lowe’s,” said Steve Margolius, ADG’s CEO. “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.”

Lowe’s will finance the acquisition with cash on hand. The transaction is expected to close in the second quarter of 2025, subject to receipt of requisite regulatory approvals and satisfaction of other customary closing conditions.

Advisors

Centerview Partners LLC is acting as lead financial advisor to Lowe’s. Greenhill, a Mizuho affiliate, is also acting as financial advisor to Lowe’s. Covington & Burling LLP is acting as legal advisor to Lowe’s. RBC Capital Markets is acting as lead financial advisor to ADG. Goldman Sachs is also acting as financial advisor to ADG. Latham & Watkins LLP is acting as legal advisor to ADG.

About Artisan Design Group

ADG provides design, distribution, and installation services for interior finishes including flooring, cabinets, and countertops to national, regional and local homebuilders and property managers. Formed in 2016 by the merging of two industry leaders, ADG currently operates 132 distribution, design, and service facilities in 18 states, and is headquartered in Dallas, Texas.

About Lowe’s

Lowe’s Companies, Inc. (NYSE: LOW) is a FORTUNE® 50 home improvement company serving approximately 17 million customer transactions a week in the U.S. With total fiscal year 2022 sales of over $97 billion, approximately $92 billion of sales were generated in the U.S., where Lowe’s operates over 1,700 home improvement stores and employs approximately 300,000 associates. Based in Mooresville, N.C., Lowe’s supports the communities it serves through programs focused on creating safe, affordable housing and helping to develop the next generation of skilled trade experts. For more information, visit Lowes.com.

Source: Lowe’s Companies, Inc.