Charlotte-based Nucor Corp., the largest U.S.-based steelmaker by market value, agreed to buy Ambassador Steel Corp. for $185 million to gain control of a plant making concrete-reinforcing steel.
Nucor subsidiary Harris Steel will acquire Auburn, Ind.-based Ambassador in an all-cash transaction, Nucor said Thursday. The purchase of the privately held company is expected to be completed in the third quarter, Nucor said.
“The acquisition of Ambassador continues Nucor's downstream growth initiatives and is an opportunity to enhance Nucor's national footprint in the rebar fabrication market,” Nucor Chief Executive Officer Dan DiMicco said in a statement.
Nucor fell 41 cents to close at $73.92 Thursday in New York Stock Exchange composite trading. The shares have gained 26 percent this year.
Ambassador shipped 422,000 tons of fabricated rebar in 2007, Nucor said in the statement.