Reliance Steel & Aluminum announced today that effective October 1, 2012, it has acquired all the outstanding limited liability company interests of Sunbelt Steel Texas, LLC (“Sunbelt”), a value-added distributor of special alloy steel bar and heavy-wall tubing products to the oil and gas industry.
Sunbelt was founded in 1986 and is now headquartered in Houston, Texas with an additional location in Lafayette, Louisiana. Net sales of Sunbelt for the twelve months ended December 31, 2011 were approximately $48 million. Sunbelt will operate as a wholly-owned subsidiary of Reliance Steel & Aluminum Co. Current management will remain in place with Michael Kowalski continuing as President of Sunbelt. The majority shareholder of Sunbelt, an affiliate of Freestone Partners, LLC of Houston, Texas, and the other selling shareholders were represented by Quarton Partners. Terms were not disclosed.
“We are excited to add Sunbelt Steel Texas, LLC to the Reliance Family of Companies. Sunbelt increases our growing exposure to the energy market in high end, niche products serving customers across multiple oil and gas well drilling types, including vertical, horizontal, directional, and deepwater drilling applications. Sunbelt’s in-house processing services include deep hole drilling, straightening, and saw cutting with the ability to manufacture heavy-wall tubing from solid bar. We look forward to continuing Sunbelt’s growing presence in their specialty markets,” said David H. Hannah, Chairman and CEO of Reliance.
Source: http://www.rsac.com/