May 18 (Bloomberg) -- Nucor Corp., the biggest U.S. recycler of steel products, agreed to buy Skyline Steel LLC from ArcelorMittal for about $605 million to add specialty steel distribution in North America and the Caribbean.
The acquisition gives Nucor control of a company that has distributed its steel for more than two decades, Charlotte, North Carolina-based Nucor said in statement. Skyline had sales of $873 million last year, ArcelorMittal, the world’s biggest steelmaker, said in a separate statement.
Buying Skyline gives Nucor 21 sales offices as well as distribution and fabrication facilities. ArcelorMittal, which said it will retain control of Skyline’s Latin American operations, said the sale was in line with its strategy of selling non-core assets and reducing debt.
“Skyline is well positioned to continue to grow in the piling and foundation products area in North America,” Nucor Chairman Daniel R. DiMicco, said in the statement. “They will become a more valuable downstream consumer of Nucor’s coiled plate and sheet products.”
Skyline will also retain exclusive rights to sell ArcelorMittal’s piling and foundation products in North America and the Caribbean.
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