March 26, 2012
Reliance Steel & Aluminum Co. has announced today that its wholly-owned subsidiary Precision Strip, Inc. has signed an agreement to acquire substantially all of the assets of the Worthington Steel Vonore, Tennessee plant, a processing facility owned by Worthington Industries Inc. Terms were not disclosed. The transaction is expected to be completed within 30 days, subject to the successful completion of due diligence. Worthington Industries acquired the assets of the Vonore, Tennessee plant in early 2011.
Upon completion of the acquisition, the Vonore plant is expected to operate as a Precision Strip Inc. location that will process and deliver carbon steel, aluminum, and stainless steel products on a “toll” basis, processing the metal for a fee without taking ownership of the metal. Precision Strip currently operates 11 tolling facilities throughout the United States and Mexico.
Precision Strip President Joseph P. Wolf said, "This acquisition will strengthen our geographic fit for our existing and growing customer base and also complements the footprint of our existing facilities, further expanding our market presence in the Southeastern region of the United States."