Canada-based metal distribution company Russel Metals Inc. has announced that it has entered into an agreement for the acquisition of Tampa Bay Steel, a non-ferrous products company located in Florida. The transaction, worth US$79.5 million and includes working capital, buildings and equipment, and the related real estate, is expected to close in December 2024.
John Reid, President and CEO of Russel Metals, said, "Our approach to acquisitions is to focus on opportunities that are complementary from a product mix and geographic perspective, but also aligned with our performance-based and decentralized culture. We believe that the transaction is a strong fit as it will allow us to extend our footprint into the Florida market with an experienced management team and a culture that is aligned with ours.”
In addition, Tampa Bay Steel has invested approximately US$20 million in value-added equipment and facility expansion over the past three years.