Consolidated Systems Carves Up Processing Business
12/16/2015 - North America’s largest independent coil coater has acquired the coating and processing assets of Consolidated Systems Inc.’s Consolidated Metal Products unit.
Located in Columbia, S.C., USA, the facility will be operated as a toll processing facility in Precoat Metals’ southern region.
“The addition of (the assets) enhances our ability to meet the expanding needs of our customers, particularly in processing surface-critical applications on a wide range of substrates including carbon steel, stainless, and aluminum,” said Jerry Dombek, Precoat Metals president and chief executive, in a statement.
"We are excited to add these toll coating and processing capabilities to our southern region, building upon our strong geographic footprint,” he said.
The facility will be renamed Precoat Metals – Columbia and will retain nearly 100 Consolidated Metals employees. In addition to coil coating, it offers slitting, blanking, leveling, embossing, and packaging services.
Headquartered in St. Louis, Mo., USA, Precoat Metals now operates 16 coil coating lines in 14 locations and has more than 1,000 employees.
Separately, U.S. service center Flack Steel Ltd. has acquired certain other Consolidated Metal Products assets, including its working capital and trade name.
In a statement, Flack Steel said the deal will allow it to expand its product offerings and deepen its market penetration for bare and painted carbon, galvanized and stainless steels and aluminum.
It also is expected to increase the company’s consolidated annual revenue to more than US$300 million.
"Adding CMP allows us to expand our geographic and product reach while capitalizing on synergies between our network of processing partners," said Flack Steel Ltd. CEO Jeremy Flack in a statement.
"This gives us the ability to offer our current and new customers a wider range of products and hedging solutions on the Flack platform."
The company said more than 20 CMP purchasing, sales, quality and marketing professionals will bring their expertise to Flack Steel.
"We are excited to be joining the Flack team. Adding Flack's expertise in risk management will provide additional benefits for our existing customer base. This move also allows Flack Steel to leverage the improving construction sector, while also providing inroads into the appliance and transportation markets," said Brad Pemberton, said CMP president.
In September, Steel Dynamics Inc. acquired Consolidated Systems’ steel decking facilities Memphis, Tenn., Phoenix, Ariz., and Terrell, Texas, for US$45 million in cash.
“The addition of (the assets) enhances our ability to meet the expanding needs of our customers, particularly in processing surface-critical applications on a wide range of substrates including carbon steel, stainless, and aluminum,” said Jerry Dombek, Precoat Metals president and chief executive, in a statement.
"We are excited to add these toll coating and processing capabilities to our southern region, building upon our strong geographic footprint,” he said.
The facility will be renamed Precoat Metals – Columbia and will retain nearly 100 Consolidated Metals employees. In addition to coil coating, it offers slitting, blanking, leveling, embossing, and packaging services.
Headquartered in St. Louis, Mo., USA, Precoat Metals now operates 16 coil coating lines in 14 locations and has more than 1,000 employees.
Separately, U.S. service center Flack Steel Ltd. has acquired certain other Consolidated Metal Products assets, including its working capital and trade name.
In a statement, Flack Steel said the deal will allow it to expand its product offerings and deepen its market penetration for bare and painted carbon, galvanized and stainless steels and aluminum.
It also is expected to increase the company’s consolidated annual revenue to more than US$300 million.
"Adding CMP allows us to expand our geographic and product reach while capitalizing on synergies between our network of processing partners," said Flack Steel Ltd. CEO Jeremy Flack in a statement.
"This gives us the ability to offer our current and new customers a wider range of products and hedging solutions on the Flack platform."
The company said more than 20 CMP purchasing, sales, quality and marketing professionals will bring their expertise to Flack Steel.
"We are excited to be joining the Flack team. Adding Flack's expertise in risk management will provide additional benefits for our existing customer base. This move also allows Flack Steel to leverage the improving construction sector, while also providing inroads into the appliance and transportation markets," said Brad Pemberton, said CMP president.
In September, Steel Dynamics Inc. acquired Consolidated Systems’ steel decking facilities Memphis, Tenn., Phoenix, Ariz., and Terrell, Texas, for US$45 million in cash.
