HC2 Holdings Buys Banker Steel
HC2 Holdings Inc announced that it has acquired Lynchburg Verginia based Banker Steel Holdco LLC through its infrastructure arm, DBM Global. The other party to the buyout was Atlas Holdings LLC, which included Banker Steel Holdco in its portfolio. The transaction value was USD 145 million and the deal was announced by HC2 Holdings on Mar 15, 2021. The acquisition price of USD 145 million was settled by DBM Global through multiple means including USD 25 million in cash, USD 64.1 million from the new revolving credit/term loan facility, USD 6.3 million worth of Banker Steel’s assumed debt and USD 49.6 million of seller’s note.
Banker Steel engages in providing fabricated structural steel as well as erection services in the industrial and commercial construction markets of the southeast and east coast regions. It has six operating companies and employees 1,500 people. As part of the purchase, Banker Steel’s six operating companies including Innovative Detailing and Engineering Solutions; Banker Steel Co LLC, Lynchburg Freight and Specialty LLC, NYC Constructors LLC, Derr & Isbell Construction LLC and Memco LLC are now part of DBM Global. At the end of April, Banker Steel’s backlog was USD 800 million.
Based in Phoenix Arizona, DBM Global is a specialist in proving integrated steel-construction services as well as asset management solutions. It has business in various markets, including healthcare, industrial, transportation, commercial and others.