Pritzker will pay nearly $1 billion to acquire the steel mill services company.
Pittsburgh-based TMS International Corp.
and The Pritzker Organization LLC
have announced the completion of the acquisition of TMS by business interests of Thomas Pritzker and Gigi Pritzker in an all-cash transaction with an enterprise value of about $1 billion.
TMS, through its subsidiaries, including Tube City IMS Corp., says it is the largest provider of outsourced industrial services to steel mills in North America as measured by revenue. The company provides mill services at 81 customer sites in 12 countries and operates 36 brokerage offices from which it buys and sells raw materials across five continents.
When the deal was first announced in late August, Raymond Kalouche, president and CEO of TMS, said, “We have built a world-class, outsourced industrial services company over the past six years during our partnership with Onex. With this transaction, we are pleased to be able to maximize stockholder returns while positioning ourselves to continue to deliver exceptional value for our customers and expand our global operations as a privately held company, with TPO as our new long-term partner.”
As part of the acquisition, TMS’s stockholders are entitled to receive $17.50 in cash, without interest, less any withholding or other applicable taxes, for each share of TMS common stock owned by them. As a result of the merger, TMS’s shares will no longer be listed for trading on the New York Stock Exchange.