Nucor Acquires Steel Rac Maker Elite Storage Solution

Charlotte North Carolina-based US steel maker Nucor Corp is expanding warehouse business by acquiring Monroe-based steel racking manufacturer Elite Storage Solutions for USD 75 million. Elite Storage Solutions is a pallet rack manufacturer. The deal brings manufacturing sites in Monroe in Georgia and Chandler in Arizona, to Nucor, along with 180 people employed at those locations. Establishing a manufacturing presence in the Southeast complements Nucor’s existing steel racking business and allows to serve racking customers nationwide more efficiently,

Elite was founded and operated by the South family since the early 1980s and in partnership with the Stein family, owners of Triple-S Steel, since 2017. End-use markets for steel racking, including e-commerce warehouses, data centers, and food and beverage storage, have experienced strong growth that is forecast to continue.

The acquisition builds on the USD 370 million purchases of California-based Hannibal Industries in August 2021. That was Nucor’s first foray into the business of making racks for warehouses and other industrial uses.

The expansion of its racking business dovetails nicely with Nucor’s big growth in the insulated steel panels market, a product used largely in warehouse manufacturing. Nucor got into that business in 2019 with a small purchase of TrueCore Manufacturing. In 2020, Nucor announced it would build a small panel plant in Indiana, and early last year, it announced one in Utah. Nucor made its big move in the market last summer spending USD 1 billion to buy the insulated panels business of Cary-based Cornerstone Building Brands. That deal included seven manufacturing plants in Indiana, New York, Kentucky, Texas and Virginia.

Nucor Acquires Steel Rac Maker Elite Storage Solution

Strategic Research Institute

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