Nufab Rebar grows with first acquisition

Nufab Rebar grows with first acquisition

Nufab Rebar LLC, North Carolina-based Nucor Corporation's rebar fabrication joint venture with Ambassador Steel Corporation, announced that it has acquired Lulich Steel LLC. Lulich Steel is a rebar fabricator serving the reinforcing steel construction markets of Louisiana, Mississippi and the panhandle region of Florida. The Lulich family will remain in management for the time being. Nufab Rebar was formed in January 2005 as a rebar fabrication joint venture between Nucor and Ambassador Steel. Nucor is the largest producer of rebar in the United States. Ambassador Steel is the largest independent rebar fabricator in the United States, with facilities in Illinois, Indiana, Iowa, Michigan, Minnesota, Missouri, Ohio and Wisconsin. "We are pleased to announce the first step by our Nufab Rebar joint venture in building a rebar fabrication presence in the central and southern regions of the United States," said Dan DiMicco, Nucor's Vice Chairman, President and Chief Executive Officer. Added DiMicco, “Our partnership with Ambassador complements the work of our other rebar fabrication joint venture with Harris Steel Group in the western and northeastern regions of the United States." Rebar producers have been buying independent rebar fabricators very aggressively in the last couple of years. Nucor, a latecomer to the rebar business, has been the leader in acquisitions of rebar fabricators and downstream businesses. There are only a few large independent fabricators left and they may get integrated into other rebar producers within the next couple of years as well.