Aug 3 2007
Nucor Corporation announced today that it has entered into an agreement to acquire substantially all of the assets of LMP Steel & Wire Company ("LMP") for a cash purchase price of approximately $28 million. Finalization of the acquisition will occur after satisfactory resolution of any regulatory approvals, transfer of appropriate permits and other contracts, and other closing conditions. The transaction is expected to close during the third quarter of 2007 and is expected to be immediately accretive to earnings.
Located in Maryville, Missouri, LMP is a producer of cold finished bar and operates related businesses servicing the construction and OEM markets in North America. With approximately 100,000 tons of capacity and 155 employees, LMP is a significant player in the cold finish industry. The addition of LMP advances Nucor's North American market leadership position in cold finished steel.
"The acquisition of LMP is a solid growth opportunity for one of our core downstream businesses," said Dan DiMicco, Nucor's Chairman, President and Chief Executive Officer. "LMP's highly complementary product offering and operations will be a good fit with our existing cold finish business. We look forward to welcoming the LMP employees to the Nucor team."