Steel Mills
SDI Completes Purchase of CSN Heartland
Written by Sandy Williams
July 5, 2018
Steel Dynamics has completed the acquisition of CSN Heartland Flat Roll operations in Terre Haute, Ind., for $400 million in cash. Heartland produces higher-margin flat rolled steel through the processing of hot rolled coils into pickled and oiled, cold rolled and galvanized products.
Heartland has an annual capacity of 1.0 million tons of cold rolled steel and a galvanizing capacity of 360,000 tons. The facility is comprised of a continuous pickling line, a cold mill and a galvanizing line. Heartland has been operating at low utilization, primarily focusing on galvanized products. SDI plans to bring the facility to full capacity, producing high-quality cold rolled and pickled and oiled, in addition to galvanized products.
The acquisition will expand Steel Dynamics’ annual flat rolled steel shipping capacity to 8.4 million tons and total steel shipping capability to 12.4 million tons.
“We enthusiastically welcome the employees and existing customers of Heartland into the Steel Dynamics family,” stated SDI President and CEO Mark D. Millett. “The successful completion of the Heartland acquisition represents another step toward one of our growth initiatives, to further increase value-added product and market diversification. We believe Heartland, together with our Midwest flat roll operations, will provide numerous synergies and a tremendous amount of operating flexibility and optionality. We look forward to bringing this strategy to fruition.”
Sandy Williams
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