Nucor Corp. agreed to acquire Hannibal Industries, Inc. for $370 million, which represents 6.9x EBITDA for the trailing-twelve months ended March 2021. Pending approvals, Nucor will purchase 100 percent of Hannibal Industries’ outstanding shares from its Employee Stock Ownership Plan (ESOP).

Hannibal supplies racking solutions to warehouses for the e-commerce, industrial, food storage and retail segments.

“Acquiring Hannibal Industries gives us a new growth platform and broadens our offering to the fast-growing warehouse channel, and complements our current product capabilities, including beams, joists and deck, metal buildings and insulated metal panels,” stated Nucor CEO Leon Topalian. “This acquisition reflects our strategy of expanding beyond our core steel businesses and establishes a new area for Nucor to pursue a market leadership position.”

Hannibal Industries has manufacturing facilities in Los Angeles and Houston, as well as three distribution centers. It utilizes sheet and bar steel, as well as steel decking, wire deck and fasteners to produce its racking solutions, providing potential supply chain efficiencies with other Nucor businesses, including Nucor Fastener. Web: Nucor.com