Reliance Steel & Aluminum Co. Acquires Cooksey Iron & Metal Co.
Reliance Steel & Aluminum Co., a distinguished metal solutions provider, has stepped up its business horizon by confirming the acquisition of Cooksey Iron & Metal Co., Inc. This move by the prominent global company is aimed at reinforcing its presence in the Southeast market. Cooksey, a Georgia-based metals service center, will now operate as a subsidiary of Metals USA, completely owned by Reliance.
Partnership Strengthening and Expansion Efforts
Rooted in history since 1917, Cooksey excels in the distribution and processing of finished steel products including tubing, bars, plates, and beams. Operating from three distinct locations in the southeastern part of the United States, Cooksey caters to a variety of industries which includes metal building fabrication, trailer manufacturing, and production of agricultural equipment. The recent acquisition is likely to diversify Reliance’s geographic presence and enhance its economies of scale, furthermore, giving a boost to its bargaining power, and possibly broadening its profit range.
Fusing Strengths and Fostering Relationships
This strategic acquisition aligns perfectly with Reliance’s operational model, which underscores top-notch customer service, superior products, and quick product delivery. This seems to promise a bright future for the two entities. The decision to retain the current management team of Cooksey assures a seamless transition and sustains the operational expertise that has propelled Cooksey to its pinnacle. With annual net sales of about $90 million by the end of December 31, 2023, Cooksey is projected to bring in stable revenue and provide prospects for cross-selling services to Reliance’s portfolio.
Reliance: Pioneering Excellence
Reliance, traced back to 1939 and based in Los Angeles, governs approximately 315 locations spread across 40 states and 12 countries outside the U.S. It caters to more than 125,000 customers from a broad spectrum of industries, setting itself apart with its attention to delivering small orders quickly and provided added-value processing services. This acquisition of Cooksey underlines Reliance’s dedication to its growth strategy, which focuses on strategic acquisitions that augment its current operations and facilitates its penetration into fresh markets. The terms and conditions of this transaction remain undisclosed.
