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Released June 08, 2022 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--Nucor Corporation (NYSE:NUE) (Charlotte, North Carolina) continues to expand its downstream operations, with the acquisition of Summit Utility Structures LLC (SUS) (West Hazelton, Pennsylvania) and Sovereign Steel Manufacturing LLC, which produces metal poles and other steel structures for utility infrastructure and highway signage. This comes after Nucor last month announced its largest acquisition ever, purchasing residential and commercial garage door manufacturer C.H.I. Overhead Doors (C.H.I.) (Arthur, Illinois) for $3 billion.
Nucor will create a new business unit from the SUS and Sovereign Steel acquisitions--Nucor Towers & Structures--which will serve the utility, transportation and telecommunications sectors, according to a related press release. Located in Pennsylvania, the companies are best suited to service the U.S. Northeast, but Nucor plans to "establish a nationwide footprint able to service all customers throughout North America."
"These acquisitions create a new growth platform for our company to provide engineered solutions for utility infrastructure and construction projects," said Chad Utermark, executive vice president of new markets and innovation for Nucor. "The markets for transmission and telecommunication towers are forecast to experience strong growth for decades. The creation of Nucor Towers & Structures strongly complements our plate capabilities, while also adding a new dimension to our arsenal of value-added downstream products such as joists and decks, hollow structural section tubes, metal buildings, insulated metal panels, racking systems, piling and foundation solutions, and shortly, overhead doors."
The company acquired C.H.I. Overhead Doors from private equity investor Kohlberg Kravis Roberts & Company LP (KKR). That transaction is expected to close later this month or shortly thereafter. In addition to residential and commercial garage doors, C.H.I. manufactures rolling steel doors and rubber doors. The company features two manufacturing plants, in Arthur, Illinois, and Terre Haute, Indiana, and regional warehouses in California, Colorado, New Hampshire and New Jersey, according to a related press release.
Since August of last year, Nucor also has acquired insulated metal panel manufacturers CENTRIA (Pittsburgh, Pennsylvania) and Metl-Span (Lewisville, Texas); steel racking manufacturer Elite Storage Solutions (Monroe, Georgia); and a majority ownership position in steel processing and finishing company California Steel Industries, Incorporated (CSI) (Fontana, California). CSI has five product lines, including hot-rolled, pickled and oiled, cold-rolled, galvanized and electric resistance-welded (ERW) pipe, according to a related press release.
Nucor's 2021 profits jumped more than eight-fold from 2020, thanks to a rebound in nonresidential construction across the U.S. The company is planning $2.3 billion in capital expenditures for 2022. For more information, see Industrial Info's January 28, 2022, article - Flush with Cash, Steelmaker Nucor Expects to Up Capex by $700 Million This Year.
Industrial Info is tracking $7 billion worth of active projects belonging to Nucor, including two major projects at its 1.6 million-ton-per-year Gallatin mill in Kentucky that are scheduled for completion later this month: a $100 million electric arc furnace (EAF) addition in a new melt shop, and a $550 million expansion and addition to upgrade the rolling area and increase the production capacity to 3 million tons per year by the third quarter. Nucor anticipates shipping approximately 0.5 million tons of the added capacity in 2022.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can see detailed project reports on the expansion/addition and EAF addition projects.
The steelmaker plans to kick off a modernization of its steel mill in Crawfordsville, Indiana in July, which entails adding a construction-grade, continuous galvanizing line and a pre-paint line. Subscribers can click here for the detailed project report.
Nucor is at work on a blast and prime line addition and rail loop construction at its new greenfield steel plate mill in Brandenberg, Kentucky, which is under construction. The 1.2 million ton-per-year Brandenburg mill is on track to produce its first sheet steel in fourth-quarter 2022. Subscribers can click here for the detailed project reports.
Subscribers can click here for a full list of Nucor's active projects.
Nucor recently reported record first-quarter consolidated net earnings of $2.10 billion, up from $942.4 million year-over-year, largely due to a spike in steel prices; the company expects to see record second-quarter earnings as well.
Industrial Info Resources (IIR) is the world's leading provider of market intelligence across the upstream, midstream and downstream energy markets and all other major industrial markets. IIR's Global Market Intelligence Platform (GMI) supports our end-users across their core businesses, and helps them connect trends across multiple markets with access to real, qualified and validated project opportunities. Follow IIR on: LinkedIn.
Nucor will create a new business unit from the SUS and Sovereign Steel acquisitions--Nucor Towers & Structures--which will serve the utility, transportation and telecommunications sectors, according to a related press release. Located in Pennsylvania, the companies are best suited to service the U.S. Northeast, but Nucor plans to "establish a nationwide footprint able to service all customers throughout North America."
"These acquisitions create a new growth platform for our company to provide engineered solutions for utility infrastructure and construction projects," said Chad Utermark, executive vice president of new markets and innovation for Nucor. "The markets for transmission and telecommunication towers are forecast to experience strong growth for decades. The creation of Nucor Towers & Structures strongly complements our plate capabilities, while also adding a new dimension to our arsenal of value-added downstream products such as joists and decks, hollow structural section tubes, metal buildings, insulated metal panels, racking systems, piling and foundation solutions, and shortly, overhead doors."
The company acquired C.H.I. Overhead Doors from private equity investor Kohlberg Kravis Roberts & Company LP (KKR). That transaction is expected to close later this month or shortly thereafter. In addition to residential and commercial garage doors, C.H.I. manufactures rolling steel doors and rubber doors. The company features two manufacturing plants, in Arthur, Illinois, and Terre Haute, Indiana, and regional warehouses in California, Colorado, New Hampshire and New Jersey, according to a related press release.
Since August of last year, Nucor also has acquired insulated metal panel manufacturers CENTRIA (Pittsburgh, Pennsylvania) and Metl-Span (Lewisville, Texas); steel racking manufacturer Elite Storage Solutions (Monroe, Georgia); and a majority ownership position in steel processing and finishing company California Steel Industries, Incorporated (CSI) (Fontana, California). CSI has five product lines, including hot-rolled, pickled and oiled, cold-rolled, galvanized and electric resistance-welded (ERW) pipe, according to a related press release.
Nucor's 2021 profits jumped more than eight-fold from 2020, thanks to a rebound in nonresidential construction across the U.S. The company is planning $2.3 billion in capital expenditures for 2022. For more information, see Industrial Info's January 28, 2022, article - Flush with Cash, Steelmaker Nucor Expects to Up Capex by $700 Million This Year.
Industrial Info is tracking $7 billion worth of active projects belonging to Nucor, including two major projects at its 1.6 million-ton-per-year Gallatin mill in Kentucky that are scheduled for completion later this month: a $100 million electric arc furnace (EAF) addition in a new melt shop, and a $550 million expansion and addition to upgrade the rolling area and increase the production capacity to 3 million tons per year by the third quarter. Nucor anticipates shipping approximately 0.5 million tons of the added capacity in 2022.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can see detailed project reports on the expansion/addition and EAF addition projects.
The steelmaker plans to kick off a modernization of its steel mill in Crawfordsville, Indiana in July, which entails adding a construction-grade, continuous galvanizing line and a pre-paint line. Subscribers can click here for the detailed project report.
Nucor is at work on a blast and prime line addition and rail loop construction at its new greenfield steel plate mill in Brandenberg, Kentucky, which is under construction. The 1.2 million ton-per-year Brandenburg mill is on track to produce its first sheet steel in fourth-quarter 2022. Subscribers can click here for the detailed project reports.
Subscribers can click here for a full list of Nucor's active projects.
Nucor recently reported record first-quarter consolidated net earnings of $2.10 billion, up from $942.4 million year-over-year, largely due to a spike in steel prices; the company expects to see record second-quarter earnings as well.
Industrial Info Resources (IIR) is the world's leading provider of market intelligence across the upstream, midstream and downstream energy markets and all other major industrial markets. IIR's Global Market Intelligence Platform (GMI) supports our end-users across their core businesses, and helps them connect trends across multiple markets with access to real, qualified and validated project opportunities. Follow IIR on: LinkedIn.
