Dallas-based Trinity Industries Inc. today announced it has entered into an agreement to acquire the assets of Meyer Steel Structures, which operates an ABB Inc. plant in New Berlin.
Meyer is the utility steel structures division of Thomas & Betts Corp., a member of the ABB Group.
The transaction is valued at approximately $600 million. The transaction is subject to customary regulatory approvals and is expected to close during the third quarter. Trinity expects to fund the purchase price with available cash on hand.
Meyer is one of North America’s leading providers of tubular steel structures for electricity transmission and distribution.
With headquarters in Memphis, Tenn., Meyer employs more than 1,100 people and has manufacturing facilities in Alabama, South Carolina, Texas and Wisconsin.
“We are excited about the opportunities associated with our agreement to purchase the assets of Meyer Steel Structures,” said Timothy Wallace, Trinity’s chairman, chief executive officer and president. “Meyer has an excellent reputation as a high quality manufacturer of utility steel structures. Trinity entered the market several years ago, and we have continued to invest additional resources in this area of our business. With the acquisition of Meyer, Trinity builds a leadership position in the electric transmission and distribution industry and confirms its long-term commitment to the utility steel structures business. Meyer will fit very well within our portfolio of companies and supports our vision of being a premier, diversified industrial company. We are confident its addition will create enrichment opportunities that benefit our enterprise. Opportunities to acquire companies with a market-leading reputation and set of competencies like Meyer’s do not surface often. We look forward to having the employees of Meyer join the Trinity team.”
“We have admired the leadership position of Meyer Steel Structures for many years,” said William McWhirter II, Trinity Industries senior vice president and Construction, Energy, and Inland Barge Group president. “Culturally, Meyer fits very well with what Trinity values most: strong leadership, engineering innovation, and continuous operational improvements. This transaction strengthens Trinity’s position as a market-leading manufacturer of products that supply North America’s energy and infrastructure needs.”