\n\tNucor Corp., Charlotte, N.C., has agreed to acquire Independence Tube Corp., a leading independent manufacturer of hollow structural section steel tubing, for $435 million, or approximately 6x average EBITDA over the 2013-2015 period.<\/p>\n
\n\t“Independence Tube is a natural fit with Nucor. Their business model is similar to ours with extremely efficient manufacturing facilities and a highly variable cost structure. Our companies’ cultures are also similar, sharing a belief in continuous improvement, operating efficiency, and the value of our employees,” said John Ferriola, Chairman, CEO and President of Nucor. “This acquisition is another important step in our long-term strategy to increase the number of value-added products we can offer our customers.<\/p>\n
\n\tHSS is used in a broad array of structural and mechanical applications including nonresidential construction, infrastructure, and agricultural and construction equipment. ITC has the second highest market share in HSS, selling its products primarily through service centers, which are also an important channel to market for Nucor. ITC is primarily a producer of HSS and does not focus on products for energy or other pipe and tube segments. The addition of ITC to Nucor’s portfolio will allow Nucor to offer a wider selection of products to its fabricator and service center customers, and it strengthens the company’s presence in the key nonresidential construction market.<\/p>\n
\n\tITC and Nucor are highly complementary. Nucor is installing a large-diameter tube mill at an existing facility in Iuka, Mississippi. Adding large size HSS to ITC’s already comprehensive product line will create the widest product offering in North America for HSS solutions. Nucor is North America’s most comprehensive provider of steel solutions to the construction and infrastructure markets, with leadership positions in plate, bar, and structural steels, as well as joist, decking, metal buildings, and rebar fabrication. <\/p>\n
\n\tITC operates four strategically located state-of-the-art facilities in Illinois and Alabama that annually produce roughly 600,000 tons and employ approximately 335 teammates. ITC purchases hot-rolled coil from suppliers to produce its HSS steel tubing. The company’s manufacturing plants are located in close proximity to Nucor’s sheet mills in Decatur, Alabama; Crawfordsville, Indiana; and Ghent, Kentucky.<\/p>\n
\n\twww.nucor.com <\/p>\n
\n\t <\/p>\n
\n\t <\/p>\n","protected":false},"excerpt":{"rendered":"
Nucor Corp., Charlotte, N.C., has agreed to acquire Independence Tube Corp., a leading independent manufacturer of hollow structural section steel tubing, for $435 million, or approximately six times the average EBITDA over the 2013-2015 period.<\/p>\n","protected":false},"author":63082,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[459,439,440,441,1],"tags":[],"class_list":["post-8723","post","type-post","status-publish","format-standard","hentry","category-buildings-and-infrastructure","category-general","category-news","category-news-articles","category-uncategorized"],"yoast_head":"\n