Steel & Tube Holdings Ltd has completed its acquisition of the business of Manufacturing Suppliers Ltd, also known as Fortress Fasteners, and its related companies.
S&T CEO Dave Taylor said: “Our acquisition of MSL is consistent with our dual strategy of consolidating our position in existing markets and growth through acquisitions.
“In acquiring MSL we can further extend the business as New Zealand’s pre-eminent fastenings company, providing expertise and a wider range of specialist steel knowledge and solutions to all sectors of the NZ economy.
“This is good news for our people, our customers and our shareholders. Our customers will benefit from an S&T stable of best-in-class companies with an extended product offering and combined purchasing power.
“MSL enjoys a strong following within the manufacturing and building industry backed by a recognisable brand and a breadth of marketing expertise. It’s a good fit for both companies and we’re looking forward to taking our business to a new level.”
MSL began in Grey Lynn in 1980 and is one of the largest fastenings companies in New Zealand with eight branches nationwide, employing around 100 people. Its iconic Fortress brand was introduced in 1997 and has become a market leader.
It will be business as usual for MSL which will continue to operate under its own brand from all of its existing locations.
The consideration was $32 million. Of this amount, $26 million was paid in cash and $6 million was paid by issuing 2,103,786 Steel & Tube shares to the vendor.
Ends
For more information:
Diane Robinson, S&T Communications Manager: 027 569 1919
About S&T
S&T is New Zealand’s leading supplier of steel products and services. It has a nationwide service and distribution network in 48 locations and is listed among the top 50 companies on the New Zealand Stock Exchange. It caters to numerous sectors across the New Zealand economy including commercial and residential construction, manufacturing, rural and heavy and light engineering. Its product range includes the Hurricane, Atlas and ComFlor brands.
About MSL
MSL began as a small operation in New Lynn, Auckland in 1980. It now has eight branches nationwide and employs around 100 people. Its own brand, Fortress, was introduced in 1997 and has become a market leader with a reputation for quality and reliability. MSL stocks over 200 million items and 10,000 product lines and is one of the largest fastening wholesalers in New Zealand.