Fort Wayne-based Steel Dynamics Inc. wrapped up its previously announced acquisition of Heartland Steel Processing LLC in Terre Haute.
Formerly known as Companhia Siderurgica Nacional LLC, Heartland produces various types of higher-margin, flat roll steel by further processing hot roll coils into pickle and oil, cold rolled, and galvanized products. The purchase price for Heartland was $400 million in cash, inclusive of $60 million of normalized working capital, and subject to customary transaction purchase price adjustments. SDI said in a June 29 announcement.
"The successful completion of the Heartland acquisition represents another step toward one of our growth initiatives, to further increase value-added product and market diversification," Mark Millett, president and CEO of Steel Dynamics, said in the announcement. "We believe Heartland, together with our Midwest flat roll operations, will provide numerous synergies and a tremendous amount of operating flexibility and optionality. We look forward to bringing this strategy to fruition."
The acquisition will expand Steel Dynamics' annual flat roll steel shipping capacity to 8.4 million tons and total steel shipping capability to 12.4 million tons.
Steel Dynamics is one of the largest domestic steel producers and metals recyclers in the United States based on estimated annual steelmaking and metals recycling capability. Local operations are located in Columbia City and Butler.