Woolworths, Lowe’s to pull plug on Masters

SYDNEY — Woolworths will bail out of its Masters Home Improvement joint venture with Lowe’s after its partner exercised its put option. The Australian retailer will buy out Lowe’s one-third stake in the loss-making venture before seeking a buyer. Lowe’s decision comes as Woolworths completes its own strategic review of its business under chairman Gordon Cairns. “The board has determined we cannot continue to sustain these losses,” Mr Cairns explained. “We decided we didn’t have the risk appetite to continue losses into the foreseeable future. The value of Lowe’s stake is still being assessed.” In the event of a failure to find a buyer, Masters’ 7000 workers will be offered employment within the Woolworths organization.