Nucor receives approval to acquire Gallatin Steel

The Federal Trade Commission (FTC) has approved the $ 770 million acquisition of Gallatin Steel in Ghent, Kentucky, based on an agreement reached between Nucor Corporation and Arcelor Mittal and Gerdau SA.

The acquisition will provide a significant boost to the flat-rolled product of the company, which has agreed to pay nearly $ 770 million in cash. The deal is considered one of the largest in the US steel industry. The acquisition of Gallatin Steel, with an annual production capacity of 1.8 million tonnes, is expected to increase Nucor's capacity by almost 16 percent to 13 million tonnes a year.

The deal will allow Nucor to expand its presence in the Midwest region by serving more customers in the tube and pipe segment. Nucor plans to complete the acquisition by mid-October.
Gallatin Steel, located on the banks of the Ohio River, is a joint venture between

ArcelorMittal and Gerdau Ameristeel. Gallatin produces high quality steel products such as hot rolled coils. The company uses scrap metal as its main raw material, removing 4,000 tons of scrap metal every day from streets and landfills.

Nucor is the largest multi-source manufacturer in North America and the United States. The company mainly manufactures steel alloy products at its facilities in the United States and Canada, including rebar, mesh, wire, angles, channels and sheet metal.