The Namasco Corporation, subsidiary of the German steel distribution giant Klöckner & Co., has announced that it will purchase Connecticut-based flat rolled steel distributor Primary Steel LLC.
Primary Steel LLC has seven locations in the US, specializing in the distribution and pre-processing of flat steel products, particularly plates.
"The acquisition of this company will result in an increase in sales of the Klöckner & Co. Group in the USA of over 60 percent" stated Klöckner Chairman of the Board, Thomas Ludwig, in a press release. "The addition of Primary Steel to the existing operations of Klöckner & Co. expands the company's geographic market area throughout the US. The acquisition represents consistent continuation of Klöckner & Co.'s growth strategy through the acquisition of large companies," he continued.
The takeover is still subject to approval by the US Antitrust Division.
Duisburg, Germany-based Klöckner & Co. is the largest producer-independent steel and metal distributor in the combined European and North American markets. The company's main business is the storage and distribution of steel and non-ferrous metals, with approximately 240 distribution locations in 14 countries in Europe and North America. Its US subsidiary, Atlanta, Georgia-based Namasco, specializes in flat rolled and structural product distribution, operating 17 locations in the US.