Century Steel

The Company

KPMG Corporate Finance was engaged to explore the possibility of providing liquidity for the owners of Century Steel LLC, a well-known steel service center located in Chicago Heights, Illinois. The Company supplies flat-rolled steel products to a wide range of customers and industries. The Company provides just-in-time delivery of slit and blanked materials processed to customer specifications.

The Situation

The owners were seeking liquidity at a valuation that reflected the Company’s strong and consistent profitability as well as its outstanding reputation within the industry. The owners desired a purchaser that was committed to continuing the company as a growing, successful operation.

The Solution

KPMG Corporate Finance conducted a competitive process to identify potential buyers that would enable the owners to achieve their objectives while positioning the Company for future growth. KPMG Corporate Finance was able to gain interest from numerous parties including public and private companies, international players, and private equity groups. KPMG Corporate Finance advised the owners on all aspects of the deal, including purchaser identification, deal pricing, negotiations, and structuring issues. Final agreement was reached with privately owned Esmark Inc., an emerging consolidator in the steel service center industry.