Tensar to Be Acquired by Commercial Metals Company to Expand Leadership in Construction Solutions
December 07 2021 - 7:30AM
Business Wire
Tensar Corporation (“Tensar”), a global leader in geogrid
engineered solutions for civil construction, and a portfolio
company of Castle Harlan Inc.’s fund Castle Harlan Partners V,
L.P., announced today it has entered into a definitive agreement to
be acquired by Commercial Metals Company (NYSE: CMC) (“CMC”), as
part of CMC’s strategy to expand its leadership in construction
solutions.
“I’m enthusiastic about the opportunity for Tensar to join with
CMC for expanded reach in the civil infrastructure market,” said
Mike Lawrence, CEO of Tensar. “Both companies have a rich history
of innovation, service and commitment to our customers’ success.
Together we will be well-positioned to grow into key markets,
leveraging forthcoming infrastructure spending as well as growing
requirements for more sustainable solutions globally. We look
forward to tapping CMC’s innovative, advanced manufacturing
expertise to bring powerful product and service benefits to our
customers and partners. This is an exciting change for employees
and customers of both companies.”
CMC is a world leader in the manufacture of steel products,
including rebar used in infrastructure construction reinforcement.
They are innovators in the adoption of new manufacturing techniques
and technology which deliver more cost-effective, sustainable and
resilient solutions to clients.
“This compelling acquisition advances CMC’s strategy to expand
our leadership in construction reinforcement, with value-added
products that complement our existing offering,” said Barbara R.
Smith, Chairman of the Board, President and Chief Executive Officer
of CMC. “Tensar will create a powerful platform for incremental
growth into complementary engineered products that target CMC’s
largest core market, construction, serving end-use markets and
customer segments where we have strong and existing
relationships.”
“Today’s announcement is another exciting step in CMC’s
strategic growth plan that will further enhance our organization,”
said Ms. Smith. “We look forward to welcoming Tensar’s 650
worldwide employees to the CMC family.”
The transaction has been approved by the boards of directors of
both CMC and Tensar. The closing of the transaction is expected to
occur in a timely manner following customary regulatory review and
subject to customary closing conditions.
Morgan Stanley & Co. LLC is acting as financial advisor, and
Skadden, Arps, Slate, Meagher & Flom LLP is acting as legal
counsel to Castle Harlan and Tensar in connection with the
transaction.
About Tensar
Tensar is a global provider of engineered civil construction
solutions, helping engineers, contractors and owners use geogrid
and geopiers to achieve more cost-effective, reliable solutions for
pavement construction, soil stabilization, earth reinforcement,
ground improvement and other site development challenges. With
manufacturing facilities in the U.S., U.K., China and Russia,
Tensar can meet customers’ needs wherever they are.
www.tensarcorp.com
About CMC
CMC and its subsidiaries manufacture, recycle and fabricate
steel and metal products, related materials and services through a
network including seven electric arc furnace (“EAF”) mini mills,
two EAF micro mills, a rerolling mill, steel fabrication and
processing plants, construction-related product warehouses, and
metal recycling facilities in the U.S. and Poland.
www.cmc.com
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version on businesswire.com: https://www.businesswire.com/news/home/20211207005625/en/
Media Contact on behalf of Tensar: Natalie Springfield
(404) 317-1150 natalie@creativeinfluence.io
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