Gerdau Ameristeel announced an agreement for the acquisition of Dales Recycling Partnership, a company engaged in the operation, processing, and recycling of ferrous scrap.
The deal, estimated at approximately $60 million, includes land, inventory, and fixed assets associated with Dales Recycling’s operations in Tennessee, Kentucky, and Missouri.
Gerdau mentioned that the acquisition is aligned with its strategy of growth and competitiveness of operations “through assets with greater potential for long-term value generation and expansion of its presence in more profitable markets for its business”.
The company expects the supply of its main raw material to have competitive costs, based on the Dales logistics channels.
The closing of the transaction is subject to the satisfaction of customary conditions precedent for operations of this nature, the company said.
