Merger Agreement with Olympic Steel
Ryerson announced a merger agreement with Olympic Steel, which is expected to result in $120 million of synergies phased in over 2 years. The merger will form the second largest metal service center in North America with over $6.5 billion in revenue.
Improved Liquidity and Debt Management
Ryerson ended the third quarter with $521 million of liquidity, an increase from $485 million at the end of the second quarter. Total debt decreased by $10 million to $500 million, moving the leverage ratio closer to the target range.
Increased Average Selling Prices
Average selling prices increased by 2.6% in the third quarter compared to the second quarter.
Investment in CapEx and Facility Expansion
Ryerson and Olympic have invested $480 million in recent years in CapEx projects, including new facilities and equipment, positioning them for future growth.