CHARLOTTE, N.C., Dec. 15, 2016 /PRNewswire/ -- Nucor
Corporation (NYSE: NUE) announced today that it has agreed to acquire Republic Conduit, a leading manufacturer of steel
electrical conduit in North America, from Luxembourg-based
Tenaris S.A. for $335 million, or approximately 6x the average of its 2015 and projected 2016
EBITDA. Republic Conduit's annual shipment volume over this period averages approximately 146,000 tons.
"The purchase of Republic Conduit complements our recent expansion of Nucor's presence in the pipe and tube market and gives
us a new line of value-added products to offer our customers," said John Ferriola, Chairman, CEO
and President of Nucor Corporation. "This acquisition hits on all five of the drivers in our company's long-term strategy for
profitable growth. We are very excited to welcome Republic Conduit employees to our Nucor team."
Republic Conduit produces electrogalvanized Electrical Metallic Tubing (EMT) and Intermediate Metal Conduit (IMC), as well as
hot-dip galvanized Electrical Rigid Metal Conduit (ERMC). Republic Conduit's products are primarily used to protect and route
electrical wiring in various nonresidential structures such as hospitals, schools, office buildings, hotels, stadiums, churches
and shopping malls. The company also serves the power and industrial sectors.
Republic Conduit employs a total of approximately 300 people at two non-unionized facilities strategically located in
Louisville, Kentucky, and Cedar Springs, Georgia. Once the
acquisition is completed, Nucor will be a market leader in steel conduits.
Nucor and its affiliates are manufacturers of steel products, with operating facilities primarily in the U.S. and
Canada. Products produced include: carbon and alloy steel -- in bars, beams, sheet and plate; hollow structural section
tubing; steel piling; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel;
steel fasteners; metal building systems; steel grating; and wire and wire mesh. Nucor, through The David J. Joseph Company,
also brokers ferrous and nonferrous metals, pig iron and HBI/DRI; supplies ferro-alloys; and processes ferrous and nonferrous
scrap. Nucor is North America's largest recycler.
Certain statements contained in this news release are "forward-looking statements" that involve risks and uncertainties.
The words "believe," "expect," "project," "will," "should," "could" and similar expressions are intended to identify those
forward-looking statements. Factors that might cause the Company's actual results to differ materially from those
anticipated in forward-looking statements include, but are not limited to: (1) competitive pressure on sales and pricing,
including competition from imports and substitute materials; (2) the sensitivity of the results of our operations to prevailing
steel prices and the changes in the supply and cost of raw materials, including scrap steel; (3) market demand for steel
products; and (4) energy costs and availability. These and other factors are discussed in Nucor's regulatory filings with
the Securities and Exchange Commission, including those in Nucor's fiscal 2015 Annual Report on Form 10-K, Item 1A. Risk
Factors. The forward-looking statements contained in this news release speak only as of this date, and Nucor does not
assume any obligation to update them.
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SOURCE Nucor Corporation