Steel Mills

SDI Expanding with Purchase of Steel Decking Facilities
Written by Sandy Williams
September 15, 2015
Steel Dynamics announced expansion of its product offerings through the purchase of steel decking facilities from Consolidated Systems, Inc. The facilities and net working capital of approximately $30 million was purchased by SDI for $45 million and will become part of New Millennium Building Systems, LLC, a wholly owned fabrications operations subsidiary.
Mark Millett, President and Chief Executive Officer of Steel Dynamics, said, “Based on our past strategic geographic growth in our fabrication platform, combined with the steadily improving construction sector, our fabrication operations achieved record profitability in the second quarter 2015 and have already surpassed 2014 record setting annual profits. This purchase will further support the success of this platform and create shareholder value. The transaction is a further step in our growth strategy, and will enhance New Millennium’s position as a leading North American provider of steel joist and decking, while also providing an accelerated avenue to new steel deck product offerings and additional cold roll and galvanized flat roll steel pull-through volume for our Columbus Flat Roll Division.”
The purchase includes three decking facilities located in Memphis, Tenn., Phoenix, Ariz., and Terrell, Texas. The assets, which produce both standard and premium specialty deck profiles, represent over 8 percent of 2014 domestic steel decking market share. Specialty deck production will be concentrated in Memphis, where a paint line is already in place. Integration with NMBS will begin immediately and will expand geographic reach into the southwestern and western markets.
Consolidated Systems, headquartered in Columbia, SC, will continue operating its Consolidated Metals Product Group which provides coil coating, tension leveling, slitting, blanking and perforating capabilities at one location.

Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills

Nucor names Batterbee, Bledsoe to HR roles
Nucor Corp. has promoted Thomas J. Batterbee to the position EVP of human resources and talent and appointed Elizabeth Bledsoe to the newly created position of president of human resources and talent.

Millett sees tariffs, CORE case benefiting SDI
Steel Dynamics' top exec thinks Trump’s tariff policies, as well as the results from the recent CORE case, will prove advantageous to the Fort Wayne, Ind.-based steelmaker and aluminum company.

USW digs in on opposition to USS-Nippon deal
“We remain deeply concerned about the national and economic security implications of the subject transaction,” the union stated in the letter dated April 21.

SDI’s Q1 earnings slump on-year, but up sequentially
SDI earnings slip in first quarter year over year, but are up sequentially.

POSCO inks MoU with Hyundai on Louisiana EAF mill
POSCO has signed a Memorandum of Understanding (MoU) with Hyundai Motor Group that includes an equity investment in Hyundai’s previously announced EAF mill set to be built in Louisiana.