ASTI Acquisition, LLC, a U.S. special acquisition unit of metals to chemical maker Synalloy Corp., has agreed to purchase all of the assets of stainless steel tubing products maker American Stainless Tubing, Inc. (ASTI).
ASTI Acquisition will pay between $27 million to $28 million for all assets in ASTI, including its right to receive revenue-based earn-out payments over a three-year period.
Synalloy said that it expects to expand its footprint in the stainless steel pipe and tube markets in North America, further filling out its product offerings and stainless steel purchasing position.
The transaction is expected to close on or by January 1, 2019. ASTI Acquisition, LLC will be re-named American Stainless Tubing, LLC after closing.