Davis Advisory works with BlueScope Steel on NZ$60 million acquisition
Davis Advisory has assisted BlueScope Steel on its acquisition of Fletcher Building’s Pacific Steel operation. BlueScope purchased Pacific Steel’s downstream long-products rolling and marketing operations for NZ$60 million plus working capital. The deal had been subject to Commerce Commission approval, which was granted on 16 April.
This strategic purchase helps sustain New Zealand’s steel industry while providing BlueScope with the opportunity to leverage its low cost iron sands and better serve its customers with a full range of long products. The transaction is expected to achieve an EBIT pay-back within three years.
The outcome of this deal again underlines the successful solutions-based approach that Davis Advisory takes when helping its clients. Davis Advisory congratulates BlueScope on its purchase.