US home improvement group Lowe's has extended an option to sell out of its $2 billion Masters joint venture with Woolworths Limited
(ASX:WOW), according to media reports.
Lowe's has reportedly pushed back an option that allows it to exit the partnership by one year, to October 2014.
The move comes amid reports that Lowe's may be considering walking away from the partnership as tough competition in the US and slugggish expansion into Canada weigh on the group.
In the two years since the first Masters store opened, an additional 30 have been opened across Australia.
It would cost Woolworths as much as $800 million to buy out the 33 per cent stake held by Lowe's in the joint venture.
Woolworths generated a net profit of 1.16 billion in the first half of fiscal 2013.
