Nucor Corporation announced Thursday that it has agreed to purchase privately held Nelson Steel Inc. for $54 million in cash to expand its wire mesh business.
The deal is expected to close during the fourth quarter of 2007, after appropriate permits and other contracts are transferred, regulatory approvals are resolved, and other closing conditions are satisfied.
Nelson Steel Inc. is located in New Salem, Pennsylvania. The company has an annual capacity of 80,000 nt, producing wire mesh and related products including wire rack decking, light weight galvanized mesh, mine mesh and engineering mesh.
Executive Vice President of Nucor Corporation, Mike Parrish, commented, "The acquisition of Nelson is a good growth opportunity for one of our existing downstream businesses and complements and expands our wire mesh businesses at Connecticut and LEC.”