Worthington Industries Inc. completed its acquisition of Tempel Steel Company, a manufacturer of precision motor and transformer laminations for the electrical steel market.
The deal, originally valued around $255 million, expands the Columbus, Ohio-based manufacturer’s steel processing segment in the growing electric vehicle (EV) market.
Tempel Steel, headquartered in Chicago and founded 1945, specializes in electrical steel – highly engineered steel used for the core of electric motors, transformers and generators.
“The addition of Tempel makes us a world leader in the rapidly growing electrical steel market that includes transformers, machine motors and electric vehicle motors,” Worthington President and CEO Andy Rose said. “Tempel expands our sustainable mobility offerings beyond lightweighting and hydrogen to more widely serve the global market for hybrids, EVs and the electricity infrastructure needed to support them. Tempel has a rich history and dedicated workforce and we’re excited to officially welcome them to Worthington.”
Tempel reported sales of $377 million and earnings of $35 million for the 12 months ending Sept. 30. For its most recent fiscal year, Worthington Industries reported sales of $3.2 billion. The transaction, backed largely with existing cash, includes Tempel’s headquarters and five manufacturing facilities located in Chicago, Canada, China, India and Mexico.
By David Schollaert, David@SteelMarketUpdate.com
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