RONA is currently owned by Sycamore Partners, a private equity firm.
Lowe's Companies, Inc. previously owned RONA. The American home improvement retailer acquired RONA Inc. in 2016 in a deal valued at C$3.2 billion (approximately US$2.4 billion at the time). This acquisition was described by Lowe's as a key step in accelerating its growth strategy, with its Canadian retail business, including RONA stores, contributing around seven percent to the company's 2022 sales outlook.
The Transition of Ownership
In late 2022, Lowe's announced its decision to sell its entire Canadian retail business, encompassing its RONA, Réno-Dépôt, and Lowe's Canada banners, to a private equity firm. This strategic divestiture allowed Lowe's to focus on its core operations in the United States. The transaction officially closed in early 2023, transferring the ownership of RONA and the other Canadian retail operations to Sycamore Partners.
Key Ownership Milestones
Year | Owner | Event |
---|---|---|
2016 | Lowe's Companies, Inc. | Acquired RONA Inc. for C$3.2 billion. |
Late 2022 | Sycamore Partners (announced) | Lowe's announced the sale of its Canadian retail business, including RONA. |
Early 2023 | Sycamore Partners | Acquisition by Sycamore Partners completed, becoming the current owner of RONA. |
Impact of the Ownership Change
The shift in ownership from a large publicly traded retail corporation like Lowe's to a private equity firm such as Sycamore Partners typically brings a refreshed strategic focus. Private equity firms often concentrate on optimizing operational efficiency, enhancing market position, and driving long-term value, potentially preparing the company for future growth initiatives or a subsequent sale. For RONA, this means continuing its role as a prominent home improvement retailer in the Canadian market under new leadership.