Pacific Coast Steel Acquires Las Vegas Contractor Business
06/15/2007 - Gerdau Ameristeel’s Pacific Coast Steel joint venture has agreed to purchase the assets of Valley Placers, a reinforcing steel contractor in Las Vegas that also operates a steel fabrication facility and retail construction supply business.
Gerdau Ameristeel Corp.’s Pacific Coast Steel (PCS) joint venture has agreed to purchase the assets of Valley Placers, Inc. (VPI), a reinforcing steel contractor in Las Vegas, Nev. Terms of the transaction were not disclosed.
VPI operates a steel fabrication facility and retail construction supply business in Las Vegas, in addition to its contracting activities.
"This further supports our approach to strategically grow our downstream operations in the West,” said J. Neal McCullohs, Vice President of Commercial and Downstream Operations for Gerdau Ameristeel. “VPI can be supported by our recently purchased mill in Oklahoma, and will easily roll into the PCS organizational structure."
Specializing in smaller commercial, retail and public works projects, VPI currently employs more than 110 field ironworkers. "Our participation in the Las Vegas market has increased considerably in the past nine months," remarked Eric Benson, President of PCS.
"Valley Placers gives us the local presence needed to support our growth and will provide us immediate access to a broader range of market opportunities here."
The transaction is expected to close in the next 30 days.
Gerdau Ameristeel is the second largest minimill steel producer in North America with annual manufacturing capacity of over 9.0 million tons of mill finished steel products. Through its vertically integrated network of 17 minimills (including one 50% owned minimill), 17 scrap recycling facilities and 51 downstream operations, Gerdau Ameristeel primarily serves customers in the eastern two thirds of North America. The company's products are generally sold to steel service centers, steel fabricators, or directly to original equipment manufactures for use in a variety of industries.
