Brazil – Commercial Metals Co. has signed an agreement to acquire several US rebar steel mill and fabrication assets from Brazil-based Gerdau S.A. for US$ 600 million (Euro 500 million).
The acquisition includes 33 rebar fabrication facilities in the USA as well as electric arc furnace steel mills in Knoxville (Tennessee), Jacksonville (Florida), Sayreville (New Jersey) and Rancho Cucamonga (California).
The mills have a combined annual rolling capacity of 2.5 million tonnes.
After adding in the new facilities, Commerical Metals Co. (CMC) will have some 7.2 million tonnes of global melt capacity. The company operates more than 120 recycling centres, steel mills, fabrication facilities, marketing and distribution offices, construction-related product stores, heat treating facilities and related operations in more than 12 countries.
‘This acquisition aligns with our strategy to focus on our strength in concrete reinforcing products and leverages CMC’s core competencies in rebar production and value-added fabrication services to nonresidential construction customers,’ comments CMC’s president Barbara Smith.