United Steel Supply

Situation

The company’s revolutionary model allows for shorter lead times from suppliers, as well as just-in-time services and guaranteed standard inventory availability for its customers. This transformative approach to working with its suppliers and customers further supports and fosters growth of the industry served. After completing two acquisitions at the beginning of 2018, the founders identified further opportunity to accelerate their vision and growth plan through a strategic partnership.

Engagement

G2 has served as a long-term strategic advisor to United Steel, and as the exclusive Sell-Side Advisor for this process was responsible for running a highly tailored, strategic, and efficient recapitalization transaction process for the company. The client had unique and specific characteristics it was looking for in a potential partner – either financial or strategic – and each potential partner went through a bespoke process tied to the particular considerations of their position, as well as their history within the metal building / building product industry.

Outcome

The transaction was successfully executed through the sale of a 75% majority interest in United Steel to Steel Dynamics, Inc. (NASDAQ: STLD) for $134MM, with an option for United Steel to sell the remaining 25% minority interest to Steel Dynamics, Inc., in the future.