Ryerson to Acquire Central Steel and Wire
By Metal Center News Staff
on Jun 5, 2018
Metal distributor Ryerson Holding Corp. has entered into a definitive merger agreement to acquire fellow Chicago-based metal service center Central Steel and Wire Co.
The more than 100-year-old company operates six locations across the Central and Eastern U.S., with an annual revenue of approximately $600 million. Central Steel and Wire, which ranked 21st on the MCN Top 50 in 2017, offers a wide variety of processing capabilities and products, including bar, tube, plate and sheet products.
"Since 1909, Central Steel and Wire has cultivated a loyal customer following as an industry standard bearer of customer service,” Ryerson President and CEO Eddie Lehner said. “Ryerson's acquisition of Central Steel and Wire into the Ryerson family of highly valued industrial metal distribution and processing companies takes Ryerson's ability to provide great customer experiences to another level.”
The transaction, which was valued at $140 million, has been approved by the board of directors of both companies, according to Ryerson, and Central Steel and Wire. Shareholders executed a written consent approving the merger agreement and the transaction. Ryerson added that both companies expect to close the transaction during the third quarter of 2018.
“We are excited to elevate the best of Central Steel and Wire while leveraging Ryerson's intelligently networked service centers to infuse Central Steel and Wire's and Ryerson's customers with a broader and deeper array of products with comprehensive processing capabilities,” Lehner added. “By supporting and further developing the Central Steel and Wire brand in the marketplace to existing and new customers, Ryerson continues along a smart growth trajectory that we expect to add meaningfully to shareholder value in the years to come."