Lowe’s Companies announced the completion of its acquisition of Orchard Supply Hardware on Aug. 30. The acquisition, which includes 72 Orchard Supply stores, is valued at $205 million, according to a press release.
The acquisition expands Lowe’s presence in California through the addition of Orchard Supply’s smaller-format neighborhood stores, according to the press release.
According to the press release, Orchard Supply’s neighborhood and garden stores offer a product selection focused on paint, repair and backyard categories in approximately 36,000 square-feet of selling space, compared to 113,000 square-feet of selling space for an average Lowe’s home improvement store.
Lowe’s announced on June 17 it would enter into a purchase agreement with Orchard Supply that would serve as the stalking-horse bid in a bankruptcy court supervised auction, according to the press release.
Orchard Supply, which filed for Chapter 11 protection on June 17, reported annual revenue $657 million for fiscal year 2012.