CLEVELAND--(BUSINESS WIRE)--Olympic Steel Inc. (Nasdaq: ZEUS), a leading national metals service center, today announced that effective April 2, 2018, it has acquired the assets of Berlin Metals LLC, based in Hammond, Indiana. Terms in the all-cash deal were not disclosed.
With approximately $50 million in annual sales, Berlin Metals was founded in 1967 and is one of the largest North American service centers processing and distributing prime tin mill products and stainless steel strip in slit coil form. The Company is also a supplier of galvanized, light gauge cold rolled sheet and strip; and other coated steels in coil form, to customers in the building products, automotive, and specialized industrial markets.
“This acquisition adds new products and markets, both of which are central to our growth strategy,” said Olympic Steel’s Chairman and Chief Executive Officer Michael Siegal. “Berlin Metals also has a growing stainless steel business, compounding our organic growth in these products. With minimal customer overlap, this is a perfect complement to existing operations.”
The purchase includes four coil slitters operating from a 120,000 square foot facility in Hammond. Berlin Metals will continue to operate under its well-known brand and the management team, including President Roy Berlin, will remain at the Company. The business will be included in Olympic Steel’s Specialty Metals Flat Products reporting segment, which is led by President, Specialty Metals Andy Markowitz, and is expected to be accretive to 2018 earnings.
Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by words or phrases such as “may,” “will,” “anticipate,” “should,” “intend,” “expect,” “believe,” “estimate,” “project,” “plan,” “potential,” and “continue,” as well as the negative of these terms or similar expressions. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those implied by such statements. Readers are cautioned not to place undue reliance on these forward-looking statements. Such risks and uncertainties include, but are not limited to: our ability to successfully integrate Berlin Metals into our business and risks inherent with the Berlin Metals acquisition in the achievement of expected results, including whether the acquisition will be accretive and within the expected timeframe. We undertake no obligation to publicly release any revisions to any forward-looking statements or to otherwise update any forward-looking statements whether as a result of new information or to reflect events, circumstances or any other unanticipated developments arising after the date on which such statements are made. A further list and description of risks, uncertainties and other factors can be found in our Annual Report on Form 10-K for the year ended December 31, 2017 and in our reports on Forms 10-Q and 8-K.
About Olympic Steel
Founded in 1954, Olympic Steel is a leading U.S. metals service center focused on the direct sale and distribution of large volumes of processed carbon, coated and stainless flat-rolled sheet, coil and plate steel and aluminum products. The Company’s CTI subsidiary is a leading distributor of steel tubing, bar, pipe, valves and fittings, and fabricates pressure parts for the electric utility industry. Headquartered in Cleveland, Ohio, Olympic Steel operates from 31 facilities in North America.