North Raleigh Today

The Sterling Group has announced the impending sale of Artisan Design Group (ADG) to Lowe's Companies, Inc. for $1.325 billion. ADG, based in Dallas, Texas, is a provider of design, distribution, and installation services for interior surface finishes to homebuilders and property managers across the United States. The acquisition, finalized by Sterling and expected to conclude in the second quarter of 2025, represents the culmination of a six-year period of growth and expansion for ADG under Sterling's ownership.

Since partnering with ADG's co-founders Larry Barr and Wayne Joseph in 2018, Sterling has supported the company's completion of 15 acquisitions. "Since initially partnering with co-founders Larry Barr and Wayne Joseph in 2018, Sterling has been proud to support ADG during a period of significant growth and expansion," said Johann Friese, a director at The Sterling Group. ADG now operates 132 facilities in 18 states, involving over 3,200 personnel.

Marvin R. Ellison, Lowe's chairman, president, and CEO, remarked on the strategic growth opportunities this purchase enables: "With more than 18 million homes needed in the United States by 2033, we expect new home construction will be a major driver of Pro planned spend for the next decade. The acquisition of ADG allows us to build on our momentum with Pro planned spend and is expected to expand our total addressable market by approximately $50 billion."

Steve Margolius, ADG's CEO, expressed enthusiasm about joining forces with Lowe's. "We are thrilled for ADG to join forces with Lowe's," he said.

The completion of the transaction is subject to regulatory approvals and customary closing conditions. RBC Capital Markets is acting as the lead financial advisor, while Goldman Sachs and Latham & Watkins LLP are also advising ADG.

Sterling, founded in 1982, focuses on investments in industrial services companies and has assets under management valued at $9.4 billion.

Lowe's acquisition aims to strengthen its position in the market and enhance its services to builders and property managers.