Prices
Borusan Completes Buy of Fla.-based Berg Pipe
April 14, 2023
Turkish pipe and tube maker Borusan Mannesmann has finalized its buy of Panama City, Fla.-based Berg Pipe for $162 million.
Borusan said it has acquired 100% of the US pipe maker, which manufactures large-diameter line pipe.
“By acquiring Berg Pipe, a company with a total manufacturing capacity of 550,000 tons, we have secured a strategic position in the large-diameter pipe sector, ” Borusan Group CEO Erkan Kafadar said in a statement.
The company noted this strengthens its position in the North American energy pipe industry, and is “in line with its global growth strategy of expanding its manufacturing capacity in target markets.”
“Berg Pipe owns two facilities, one in (Panama City,) Florida, where longitudinal seam-welded pipes are manufactured, and one in (Mobile,) Alabama, where spiral seam-welded large-diameter pipes are manufactured,” Borusan said.
Borusan Mannesmann has been operating in the US since 2014, with a facility in Baytown, Texas.
The company said that with this acquisition and a second facility under construction in Baytown, where production is set to start in 2023, it will own four manufacturing plants in the US.
Borusan added that the company’s total manufacturing capacity in the US will reach 1 million tons and around $1 billion in turnover.
The Baytown operation manufactures oil country tubular goods (OCTG) and line pipe for the energy sector.
Including the addition of Berg Pipe, Borusan will have a total of 11 facilities located in Turkey, Italy, Romania, and the US, the company said.
By Ethan Bernard, ethan@steelmarketupdate.com
Latest in Prices
SMU Survey: Mills less negotiable on spot prices
Most steel buyers responding to our market survey this week reported that domestic mills are considerably less willing to talk price on sheet and plate products than they were in recent weeks.
Price gap between US HRC, most imports narrows slightly
In dollar-per-ton terms, US product is on average $141/st less than landed import prices (inclusive of the 50% tariff). That’s down from $148/st last week.
SMU price ranges: Sheet ticks higher, plate stable
Sheet steel indices increased across the board this week, while plate prices held steady. All five of SMU’s price indices are higher than they were two weeks ago, and all but one are above levels recorded four weeks ago.
Nucor lifts HR spot price by $10/ton
Nucor has raised its weekly spot list price on hot-rolled coil by $10 per short ton (st) after keeping it unchanged since Aug. 25.
Atlas Tube up $50/ton following NLMK USA sheet price hike
Atlas Tube, in a leading move, said it aims to increase prices for mechanical tubing, hollow structural sections (HSS), and piling products by at least $50 per short ton (st).