MONTREAL--A letter signed by dozens of independent merchants who operate 164 Rona stores across Canada have written to the head of Lowe's Companies, saying they are opposed to a takeover of Quebec-based Rona Inc.
The letter, made public Wednesday, says the independents prefer Rona's approach of combining a network of independents with more than 200 corporate stores.
Lowe's has approached Rona with an informal offer of $14.50 per share but faces opposition from both the Montreal-area company and the Quebec provincial government, currently campaigning towards a Sept. 4 vote.
The chief executive of Lowe's, Robert Niblock, told analysts Monday that a deal wasn't "imminent" and Lowe's was still evaluating its options.
The Rona merchants say in their letter that they respectfully are saying "No, thank you" to Lowe's because its business model is incompatible with theirs.
