US steelmaker Steel Dynamics Inc now holds a minority equity interest in its largest flat rolled steel customer, New Process Steel.
The companies closed on the previously-announced acquisition this week. Terms of the deal were not disclosed. New Process ceo Richard Fant will remain the majority 55% equity holder, Kallanish understands.
New Process Steel is a processor and distributor based in Houston, Texas. It operates two manufacturing facilities in Mexico and four in the US. Two of the facilities are located on-site at SDI’s mills in Butler, Indiana, and Columbus, Mississippi.
“This minority equity interest enables us to expand our exposure to value-added manufacturing opportunities, while continuing to serve our other long-standing flat roll steel customer needs.” says SDI ceo Mark Millett.
SDI says it is committed to “creating innovative supply-chain solutions” and believes New Process will offer a variety of opportunities for growth in value-added manufacturing for the companies.
Laura Miller USA
