Jun 18 2008
PNA Group, Inc. announced today that Platinum Equity has reached an agreement with Reliance Steel & Aluminum Co. under which Reliance will acquire from Platinum Equity all of the outstanding capital stock of PNA Group Holding Corporation. The transaction is valued at approximately $1.1 billion. The transaction is expected to be consummated within the next 60 days, subject to the satisfaction of certain conditions, including obtaining required regulatory approvals.
PNAG Holding is a leading national steel service center group that distributes steel products and provides value-added steel processing services to its customers, which are largely comprised of fabricators and original equipment manufacturers, across a diversified group of industries, including the infrastructure, institutional, industrial and commercial construction, machinery and equipment manufacturing, oil and gas, telecommunications and utilities markets. PNAG Holding’s subsidiaries include the operating entities Delta Steel, LP, Feralloy Corporation, Infra-Metals Co., Metals Supply Company, Ltd., Precision Flamecutting & Steel, L.P. and Sugar Steel Corporation. Through its subsidiaries, PNAG processes and distributes primarily carbon steel plate, bar, structural and flat-rolled products. Fiscal 2007 and first quarter 2008 revenues for the Company were approximately $1.6 billion and $474 million, respectively. The Company has 23 steel service centers throughout the United States, as well as five joint ventures that operate a total of seven service centers in the United States and Mexico.