McJunkin Red Man Holding Corp. recently announced it has signed an agreement to acquire the operations and assets of OneSteel Piping Systems.
Red Man Holding Corp. recently announced it has signed an agreement to acquire
the operations and assets of
OneSteel Piping Systems. The acquisition price is AUD $67 million and the
transaction is expected to close in the first quarter of 2012.
According to the company, this
acquisition continues MRC’s international expansion in targeted key markets and
supports its vision to be the premier distributor of pipe, valve and fitting
products in the world.
Effective as of closing, OPS will
operate as MRC Piping Systems Australia. This Sydney-based acquisition follows
the acquisition of Melbourne-based MRC Transmark Australia in Oct. 2009, and
Perth-based MRC SPF in June 2011.
When the strengths of MRC Piping
Systems Australia are combined with the previous acquisitions, MRC will have
Australia’s largest full-line product offering, including carbon steel,
stainless steel and alloy pipe, valves, fittings and flanges to serve both the
maintenance, repair and operations and project needs of its key customers
throughout Australia in oil and gas, mining and mineral processing.
Formed in 2011 as a merger between
Tubemakers Piping Systems and Pipeline Supplies Australia, OPS currently
operates as a division of OneSteel Limited’s Australian distribution business.
OPS has a nationwide distribution network with 12 sites in Queensland,
New South Wales, Victoria,
South Australia, Western
Australia and Northern
MRC’s combined Australia pro forma 2011
revenue will be in excess of $250 million, with approximately 365 employees in
20 sites and $70 million in inventory.
“This acquisition furthers our vision
to be the world’s premier PVF distribution company to the energy and industrial
sectors,” MRC President and CEOAndrew Lanestated.
McJunkin Red Man To Acquire OneSteel Piping Systems
December 22, 2011