Lowe’s Incorporated has reached an agreement to purchase Orchard Supply Hardware.
A press release from Lowe’s states that the agreement is for $205 million cash, and Lowe’s will assume payables owned to nearly all of OSH’s supplier partners. OSH had filed for Chapter 11 bankruptcy protection, and the sale is still subject to bankruptcy court approval.
OSH is based in San Jose, and currently has 91 stores spread across California. Lowe’s reports that at least 60 stores will remain open under the OSH name, in the same locations, and continue to have the current management team.
The City of Sonora currently has both a Lowe’s and OSH.
We contacted officials at OSH in Sonora, and were respectfully forwarded to an outside PR firm for comments. Store officials did indicate that they were optimistic the Sonora location would remain open under the new ownership. Representatives with the PR firm were not immediately available for comment.
On average, Orchard stores have 36,000 sq. ft. of selling space, where an average Lowe’s has 113,000 sq. ft. Lowe’s, based in North Carolina, currently operates 110 stores in California.