Exit and Growth Strategies for Middle Market Businesses

M&A News in the Metal Fabrication Industry Sector

By Robert Contaldo | Nov 15, 2017

The report below provides a good overview of the 4th Quarter M&A activity in the Metal Fabrication Industry Sector. M&A activity for North American based target companies in the Metal Fabrication sector for Q3 2017 included 34 closed deals, according to data published by industry data tracker FactSet.

One of the largest deals of the quarter was announced in July when Schneider Electric SE acquired ASCO Power Technologies LP from Vertiv Co, a subsidiary of Vertiv Group Corp, for US$1.3 billion in cash. The acquisition will further expand Schneider Electric’s EcoStruxure Power Platform globally, especially in North America. ASCO Power Technologies manufactures and designs solenoid valves. The company is headquartered in Florham Park, NJ.

Import prices for iron and steel have continued to rise throughout 2017 as businesses affected by the prices remain cautious.

Industry Indicators

  • US durable goods manufacturers’ shipments of fabricated metal products, an indicator of fabricated metal parts production, rose 7.2% year-to-date in August 2017 compared to the same period in 2016.
  • US steel mill product prices, an indicator of commodity steel costs for fabricated metal products manufacturers, rose 7.8% in September 2017 compared to the same month in 2016.

Posted by Robert Contaldo.

Read the Entire Metal Fabrication 4th Quarter Newsletter Here

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