Black Diamond Capital Management is to acquire ArcelorMittal's LaPlace, LA, Harriman, TN and Vinton, TX steelmaking and finishing operations focused on the production and sale of long carbon steel products in North America.
The LaPlace operations are primarily located outside of New Orleans with an additional rolling mill in Harriman, TN and three strategically located stocking depots in Tulsa, OK, Chicago, IL and Pittsburgh, PA. The LaPlace and Harriman facilities are leading producers of light structural shapes and merchant bar quality products. The Vinton facility, located near El Paso, TX, is a leading producer of rebar for the construction industry and grinding media for the mining industry.
Black Diamond has a long history of investing in the metals sector and views the facilities as a strong platform for growth in the steelmaking industry.
"We are pleased to be acquiring these facilities and continuing to provide high-quality steel products and exceptional service to their respective customers," says Stephen H Deckoff, Founder and Managing Principal of Black Diamond. "These facilities operated as a part of independent companies in the past and we look forward to coupling that entrepreneurial background with Black Diamond's prior experience to expand the customer and product base."
The acquisition is expected to close in early April. Jones Walker has served as legal counsel to Black Diamond in connection with this acquisition. Calibre Group provided advisory services in connection with a broad range of union related matters.
