Cold Metal Products Agrees to Purchase Alkar Steel
Cold Metal Products Inc (Youngstown, OH) has signed a definitive agreement to purchase Alkar Steel Inc (Roseville, MI), a privately held steel service center that specializes in the processing and distribution of high-value, precision steel products. A significant percentage of Alkar's sales is in strip steel, the core product of Cold Metal. Alkar is a leading supplier of these products to the Detroit marketplace and is known as a quality supplier to the automotive industry. Alkar will become a subsidiary of Cold Metal. Alkar's management and employees will remain with the company. Alkar's revenues for 1999 were approximately $35 million.
"Under the entrepreneurial drive and leadership of John Fayad, president, Alkar has consistently achieved significant growth in sales and earnings for nearly 10 consecutive years," says Raymond P. Torok, Cold Metal president and CEO. "The entire Alkar team of more than 60 people is keenly focused on providing the level of quality and customer service demanded in a very competitive and intensely service oriented marketplace. We are excited about having John Fayad and the entire Alkar team join Cold Metal, and look forward to co-developing opportunities for significant growth for our core products in North America's largest regional market for precision strip steel."
According to Torok, this will cap a very successful year for Cold Metal Products. "The addition of Alkar Steel is our first significant step in building a word-class service capability to complement the manufacturing and technical capabilities that have been the cornerstone of Cold Metal Products," adds Torok. "Excellence in all of these capabilities is essential in an increasingly demanding marketplace. While we are pleased with our progress to date, we remain committed to taking the actions required to realize Cold Metal's full potential in market share and earnings."
A leading intermediate steel processor, Cold Metal Products provides a wide range of strip steel products to meet the critical requirements of precision parts manufacturers. Through cold rolling, annealing, normalizing, edge-conditioning, oscillate-winding, slitting and cutting-to-length, the company provides value-added products to manufacturers in the automotive, construction, cutting tools, consumer goods and industrial goods markets.
Cold Metal operates plants in Youngstown and Ottawa, Ohio; New Britain, Connecticut; Indianapolis, Indiana; Hamilton, Ontario; and Montreal, Quebec. Cold Metal currently employs approximately 600 people.
Cold Metal Products Co., Inc., 45 S. Montgomery St, Youngstown, OH; phone: 800-837-3300