Business
Russel Metals Announces its Acquisition of Monarch Supply
TORONTO , Dec. 2, 2013 /CNW/ - Russel Metals Inc. (RUS - TSX) announced today that it ha...
About this update from Russel Metals Inc.
[{"type":"text","content":"\n\n\nTORONTO, Dec. 2, 2013 /CNW/ - Russel Metals Inc. (RUS - TSX) announced\n today that it has closed an acquisition to acquire the operations of\n Monarch Supply Ltd.\n\n\nMonarch Supply is an oilfield supply company predominately servicing the\n Drayton Valley, Alberta area.  Monarch Supply has annual revenues of\n approximately $50 million and earnings before interest and taxes of\n approximately $8 million.  The purchase prices includes cash\n consideration of approximately $33 million plus a five year earnout to\n be paid based on future earnings before interest and taxes and return\n on net assets.\n\n\nMonarch Supply will report to Don White, President and CEO of Apex\n Distribution, and the existing management and employee group will\n continue to be responsible for the operations of Monarch Supply.\n\n\nDon White, President and CEO of Apex Distribution stated \"Apex\n Distribution has benefited from a long time working relationship with\n Monarch Supply.  There is an excellent fit between the product\n offerings, customer base and distribution capabilities of the two\n companies.\"\n\n\nBrian R. Hedges, President and CEO of Russel Metals stated \"The addition\n of Monarch Supply cements a long standing relationship between Monarch\n Supply and Apex Distribution and provides further growth for our\n business in the oilfield products market.  We are also investing in\n greenfield locations through Apex Remington in the active shale plays\n in the USA, which will provide further growth opportunities for our\n energy segment.\"\n\n\nRussel Metals is one of the largest metals distribution companies in\n North America.  It carries on business in three metals distribution\n segments: metals service centers, energy products and steel\n distributors, under various names including Russel Metals, A.J.\n Forsyth, Acier Leroux, Acier Loubier, Alberta Industrial Metals, Apex\n Distribution, Apex Remington, Arrow Steel Processors, B&T Steel,\n Baldwin International, Comco Pipe and Supply, Fedmet Tubulars, JMS\n Russel Metals, Leroux Steel, McCabe Steel, Mégantic Métal, Métaux\n Russel, Métaux Russel Produits Spécialisés, Milspec, Norton Metals,\n Pioneer Pipe, Russel Metals Specialty Products, Russel Metals Williams\n Bahcall, Siemens Laserworks, Spartan Energy Tubulars, Sun...