Seamless
pipe supplier Tenaris SA announced Monday it has agreed to acquire St. Louis, Missouri-based OCTG producer Maverick Tube Corp. for $2.4 billion in cash. Luxembourg-based Tenaris will pay $65 per share, 42 percent more than Maverick's closing price on the NYSE Monday. If approved by regulators and the majority of Maverick's shareholders, the merged companies will have annual sales of about $9 billion, of which 30 percent will drive from the
US and Canadian markets, the companies said in a joint press release. Tenaris chairman and chief executive Paolo Rocca said of the merger, "This is a major step for Tenaris. With Maverick, we will gain full access to the energy sector in the United States and
Canada.” Maverick Tube makes welded oil country
tubular goods, line
pipe, and coiled
tubing for oil and natural gas wells and produces welded pipes for electrical conduits. Tenaris, part of
Argentina's Techint conglomerate, makes seamless steel pipes for the oil and gas industry.