Reliance, one of North America’s largest metals service center companies, has expanded its footprint in Ohio by acquiring all the outstanding equity interests of flat-rolled steel service center Mid-West Materials, the companies said April 2.
“The addition of Mid-West Materials increases our flat-rolled presence in the critical markets in and around Ohio, which primarily service North American OEMs,” Reliance CEO Karla Lewis said in a statement. “Mid-West Materials aligns well with our acquisition criteria of a well-run company that is immediately accretive to our earnings and expands our offerings to customers with modern, high-performance processing capabilities.”
Lewis said Mid-West’s facilities will benefit from Reliance’s scale and “access to capital for investments in value-added processing capabilities and the knowledge base and breadth of expertise throughout our extensive family of companies.”
Mid-West is based in Perry, Ohio. It supplies hot-rolled, high strength hot-rolled, coated and cold-rolled products to the trailer manufacturing, agriculture, metal fabrication and building products markets. Its sales totaled about $87 million in 2023.
The terms of the acquisition were not disclosed.
The Scottsdale, Arizona-based Reliance, formerly named Reliance Steel & Aluminum, operates from over 315 locations in 13 countries. It provides value-added metals processing and distribution services. The company reported net income of $1.34 billion on sales of $14.81 billion in 2023.
In February, Reliance announced the completed acquisition of Cooksey Iron & Metal and the pending acquisition of American Alloy Steel, both metal service centers.
Reliance’s acquisitions come as US steel prices remain at historically elevated levels, though they have fallen from record highs seen in 2021. Platts assessed the daily TSI US hot-rolled coil index at $825/st on an ex-works Indiana basis April 2, according to S&P Global Commodity Insights data.
