U.S- based Lowe’s has scooped up the Quebec home repair and hardware giant Rona by paying double the stock price — $24 — that was being paid at the close of business last night. The whole deal is worth $3.2 billion Cdn. The deal has been cosy with both boards taking votes to approve the deal and Lowes agreeing to place its headquarters in Boucherville, Quebec. That location is a kind of sop to Quebec nationalist feeling about the home-grown Rona. A previous attempt by Lowe’s to purchase Rona in 2012 collapsed after resistance from Rona’s management and outright hostility from the Quebec provincial government and pension fund. Time will tell what opposition still exists. Lowe’s has also committed “to continue to employ the vast majority of its current employees and maintain key executives from Rona’s strong leadership team.”
