Worthington Steel has completed the acquisition of Klöeckner

The American company expects this to expand its product portfolio and geographical presence

The US-based Worthington Steel has completed its voluntary public takeover bid for Klöeckner & Co S following the fulfilment of all closing conditions. This is stated in a press release from Worthington.

The US company has now acquired approximately 62% of Klöeckner’s shares.

It is noted that this lays the foundation for a strong strategic partnership between the parties. Worthington Steel expects this deal to expand its product portfolio, diversify its end markets and strengthen its geographical presence. Over time, the merger will lead to increased scale, operational efficiency and the exchange of best practices.

Jeff Gilmore, President and CEO of Worthington Steel, described the completion of the acquisition as a significant step forward in the company’s growth strategy.

“With the completion of this transaction, a new chapter begins for Klöeckner. This is the result of a well-considered strategic course: focusing our activities on higher value-added products and services, expanding our scale in North America and Europe, and finding a partner in Worthington Steel that shares our vision,” noted Guido Kerkhoff, CEO of Klöeckner & Co.

Worthington Steel intends to launch a public delisting offer for all outstanding Klöeckner shares not already owned by it. The company expects to offer the remaining Klöeckner shareholders €11 per share in cash.

As a reminder, Worthington recently secured $1.4 billion in leveraged financing on the market to acquire Klöeckner.