Press release Aperam expands Alloys footprint to the Aerospace and Industrial markets in the United States
● Signs definitive agreement to acquire Universal Stainless & Alloy Products, Inc at $45.00/share in an all cash / fully debt funded transaction
● Highsynergies of $30m annually make transaction earnings, cash flow and value accretive ● Closing is expected for H1 2025
● Aperamconfirms its progressive dividend policy
Luxembourg 17 October, 2024 (7:30 CEST)- Aperam S.A. (Aperam), a global leader in stainless, specialty steel solutions and recycling is announcing the signing of a definitive agreement to acquire Universal Stainless & Alloy Products, Inc. (Universal) [Nasdaq: USAP], a leading manufacturer of specialty steel products for critical Aerospace & Industrial applications in the U.S., at a price of $45.00 per share in an all-cash transaction. The purchase price represents a premium of 3.6% to Universal’s closing stock price on October 16, 2024, and a premium of 19% to the volume-weighted average price for the last 3 months. The transaction values Universal Stainless & Alloy Products at an enterprise value of approximately $539 million. The payment of the purchase price is secured by the commitment of 5 core banks to enter into a bridge facility agreement. This acquisition is a key milestone in Aperam’s strategy to strengthen its market position, broaden its geographic presence and product range by expanding its presence in high-growth sectors such as aerospace and industrial applications. The deal is another major step in Aperam’s ongoing transformation of its value chain, offering a more differentiated and resilient portfolio to reduce cyclicality and better respond to market demands, particularly in the United States.
