Jun 9 2004
Nucor Corporation announced that it has entered into an agreement to purchase substantially all of the steelmaking assets of Corus Tuscaloosa for a cash purchase price of approximately $90 million. The finalization of the acquisition will occur after satisfactory resolution of regulatory approvals, tax matters and transfer of appropriate permits and other contracts.
Tuscaloosa is a coiled plate mill that manufactures pressure vessel steel coil, discrete plate and cut-to-length plate products. Located in Tuscaloosa, AL, the steel mill was built in 1985 and was the first US steel mill to employ Steckel mill technology to produce high quality wide plate from coil. In 1996 a melting and casting facility expansion and mill modernization increased its annual capacity to approximately 700,000 tons.
"We view Tuscaloosa as an excellent addition of niche products to offer to our commodity plate and coiled sheet customers. We are looking forward to the addition of the Tuscaloosa operations and their team to our Nucor family," said Dan DiMicco, Nucor's Vice Chairman, President and Chief Executive Officer. "This acquisition is expected to be immediately accretive."
"Our initial plans at our Hertford County, NC plate mill contemplated the future installation of coiled plate capability," said Joe Rutkowski, Executive Vice President of Nucor. "We are excited to now offer these products to our customers through this acquisition."
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