Press release from CNW Group
Canam Group signs agreement to acquire two steel deck plants in the U.S.
Wednesday, August 04, 2010
Canam Group signs agreement to acquire two steel deck plants in the U.S.14:35 EDT Wednesday, August 04, 2010BOUCHERVILLE, QC, Aug. 4 /CNW Telbec/ - Construction products fabricator Canam Group (TSX: CAM), headquartered in St. Georges, Quebec, announced today that it has signed a definitive agreement through its U.S. subsidiary, Canam Steel Corporation, to acquire from a subsidiary of Commercial Metals Company (NYSE: CMC) substantially all of its steel deck assets, namely two steel deck manufacturing plants and their machinery and equipment as well as the machinery and equipment of a third plant. The financial terms of the transaction were not disclosed. The transaction is set to close within two weeks.The transaction will include the purchase of the raw materials inventory and the intellectual property related to the purchased assets, including the United Steel Deck name."This transaction will allow the company to expand its geographic reach and at the same time, increase the range of products it fabricates in the United States", stated Canam Steel Corporation president Sam Blatchford. "In the last two years, these U.S. facilities generated annual sales averaging over US$140 million". Mr. Blatchford added that United Steel Deck's products, key personnel and trademarks have a good and longstanding reputation across its market.The two steel deck plants, which will continue to operate, are located in South Plainfield, New Jersey, and Peru, Illinois. They have a combined annual production capacity of 144,000 tons. The equipment now housed in the third plant in Rock Hill, South Carolina, will be relocated to other Canam Group plants.About Canam Group Inc.Canam Group is a leader in the design and fabrication of construction products and solutions and a leading provider of design-build and building information modeling (BIM) services. The company operates more than 25 manufacturing plants and engineering offices in Canada, the United States, Romania, India and China, and has partnerships with companies in Saudi Arabia, the United Arab Emirates and China.For further information: Jasmin Gosselin, Vice President, Communications, Tel.: 450-641-4000, Email: firstname.lastname@example.org; www.canamgroup.ws