March 20, 2013
Metals USA's Go-Shop Period Expires Without New Buyer
The 30-day go-shop period given to Metals USA in its proposed merger with Reliance Steel & Aluminum Co. has expired without another potential buyer coming forward. Under the terms of the agreement, announced in February, the Fort Lauderdale, Fla.-based service center company had one month to find an alternative proposal from a third party.
During the go-shop period, Metals USA and its financial advisor, Goldman, Sachs & Co., contacted 67 potential alternative financial and strategic acquirers. None of the prospective buyers indicated an interest in submitting a proposal to acquire Metals USA, and no other entity made an unsolicited inquiry or proposal.
Metals USA expects to file shortly with the Securities and Exchange Commission about the stockholders vote on the proposed merger with Reliance. The special meeting is scheduled for April 10.
If approved, Metals USA will be acquired by Los Angeles-based Reliance, already North America's largest service center company. The new company will have more than $10 billion in revenues, more than twice the size of the next-largest metals distributor.
The parties expect to complete the merger during the second quarter.