Economy

UPG Finalizes Acquisition of Lex Holding Co.

Written by David Schollaert

September 23, 2020

Chicago-based service center and steel processor UPG Enterprises LLC, announced the acquisition of Lex Holding Co. The acquisition will expand UPG’s distribution of flat rolled steel products in the Midwest markets and further diversify their product line and logistical capabilities. The deal includes Lexington Steel Corp., a full-line distributor of flat rolled steel products based in Chicago and Douglass Logistics Inc., the affiliated steel logistics division of Lexington Steel.

“By joining and working alongside UPG’s Maksteel, Lexington’s reach is expanded immensely from a product line standpoint by leveraging UPG’s family of companies,” said Bill Douglass, president of Lexington Steel in the company’s press release. “Our current valued customers can anticipate the same top-rate service they have come to expect.”

The addition of Lexington Steel furthers UPG’s reach in the Midwest markets by increasing its flat roll service center operations to ten facilities. Services include slitting, cut-to-length, toll processing, logistics, packaging, shipping, and warehousing.  An augmented fleet of 200 delivery trucks will provide on time delivery to more than 5,000 customers in the Wisconsin, Minnesota, Iowa and Missouri markets.

“The scope of Lexington Steel’s team and capabilities only makes UPG’s flat roll service center business stronger,” added Chris Sekella, Executive VP of UPG’s U.S. Operations. “This move also provides Maksteel with a deep bench of industry experts, many of whom have been with Lexington for 20+ years. Our teams, working together will further enhance our ability to exceed customer expectations, provide opportunities for our employees and expand our reach to new customers throughout the Midwest.”

David Schollaert

David Schollaert is a senior analyst for Steel Market Update. David joined SMU after more than a decade in the metals and mining industry in a myriad of different roles. Much of his early experience and expertise were within the coverage and analysis of steel-making raw materials and served previously as senior editor of the CRU Prices Service. Most recently, however, before his return to market analysis, David held roles as a metals buyer and an operations manager for raw material suppliers. Based in CRU’s Pittsburgh office, David can be reached at david@steelmarketupdate.com or 724-720-1008.

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