Nucor Agrees to Purchase Trico Assets

Nucor Corp. has entered into an agreement to purchase substantially all of the assets of Trico Steel Company, LLC for $120 million. 

Trico Steel ceased operations this past March. The agreement is subject to approval by the bankruptcy court and the conclusion of a bidding procedure under the auspices of the bankruptcy court as well as a satisfactory resolution by Nucor of due diligence, regulatory approvals, tax matters, and utility, equipment and other contracts.

"The timing for start-up of this facility will depend upon market conditions. When successful, the addition of the Trico assets will be a strong complement to our flat-rolled sheet strategy," said Dan DiMicco, Nucor's president and CEO.

The Trico sheet steel mill facility, which originally began operations in 1997, is located in Decatur, Alabama and has an annual capacity of approximately 1.9 million tons.

Trico Steel was a joint partnership between LTV Steel, British Steel (now known as Corus), and Sumitomo.