Coweta steel wire plant being acquired by Insteel

Insteel Industries Inc. has announced the acquisition of one of their primary competitors with facilities in Coweta County.

Insteel Wire Products Co. officials Monday said the company plans to spend $36 million to buy two plants from American Spring Wire Corp., including the local facility on Herring Road in Shenandoah Industrial Park and the second in Houston, Texas.

American Spring Wire (ASW) is North America’s largest manufacturer of valve and commercial quality spring wire. The deal is expected to close by Aug. 15.

Under the terms of the purchase agreement, Insteel will acquire, among other assets, the accounts receivable and inventories related to ASW's PC strand business, the production equipment at ASW's facility in Houston, and the production equipment and facility in Coweta.

Insteel will lease the Houston facility from ASW. The purchase price is subject to an adjustment to be determined based upon the closing working capital balance. The transaction will be funded from cash on hand and borrowings on Insteel's $100 million revolving credit facility.

Insteel's products are sold primarily to manufacturers of concrete products that are used in nonresidential construction. Headquartered in Mount Airy, North Carolina, Insteel operates nine manufacturing facilities located in the United States.

Insteel is the nation's largest manufacturer of steel wire reinforcing products for concrete construction applications. Insteel manufactures and markets PC strand and welded wire reinforcement, including engineered structural mesh ("ESM"), concrete pipe reinforcement and standard welded wire reinforcement.



More Local

10 Things to Know for Today

Your daily look at late-breaking news, upcoming events and the stories that will be talked about today: 1. IRAN NUCLEAR TALKS DOWN TO WIRE D ... Read More


Plant Yates to shut down coal units by mid-April

Georgia Power Plant Yates will officially stop burning coal no later than April 15. Units 1-5 have already stopped being used for “nor ... Read More


Grey Matters dinner filled with insight, laughter

The Grey Matters dinner event, held at The Newnan Centre on Friday, brought a unique perspective to those in attendance. Cowetans were given ... Read More


major bills still in play

Legislative session almost over

The 2015 Georgia General Assembly session is almost over. There are two more “legislative days” in the session: Tuesday and Thur ... Read More


NTH Turns 150

Family of editor Cates visits first lady

Adolphus Boardman Cates, who published The Newnan Herald for six years in the late 1800s, was a man with many business interests. In additio ... Read More

Locals preview PBS cancer miniseries

Last week, board members of Lights for Linda Luminarias visited the Atlanta Chapter of the Leukemia and Lymphoma Society to preview a summar ... Read More