Lowe's Companies has completed the acquisition of Foundation Building Materials (FBM), a building materials and construction products distribution company based in the US.
The acquisition will enhance Lowe's offering to Pro customers through an expanded product assortment, faster fulfilment, improved digital tools and a robust trade credit platform. It will provide Lowe's with significant growth opportunities to expand its Pro footprint, given FMB’s complementary presence in key geographies such as California, the Northeast and the Midwest.
Lowe’s Pro is a loyalty programme for contractors and other business professionals who shop at Lowe's.
The acquisition will also create significant cross-selling opportunities between FBM and Lowe's, as well as the recently acquired Artisan Design Group.
"Completing the acquisition of FBM is an important step in accelerating our Total Home strategy to serve large Pro customers within a $250 billion total addressable market,” said Marvin. R. Ellison, Lowe's chairman, president and CEO. "Together with our recent acquisition of ADG, we are creating a comprehensive interior solutions platform to better serve the homebuilder. With these acquisitions, Lowe's will be well-positioned to expand our market penetration and capitalise on the expected recovery in housing, with an estimated 16 million new homes needed in the US by 2033.”
After the acquisition, FBM will continue to be led by its founder, Ruben Mendoza, and its senior leadership team.
