Fort Worth-based AZZ Inc. (NYSE: AZZ), a global provider of metal coating services, welding solutions, specialty electrical equipment and highly engineered services, on Feb. 4 announced it has reached a preliminary agreement to acquire Tennessee Galvanizing Inc., a privately held company, based in Jasper, Tennessee. Tennessee Galvanizing is metal coatings company with four operating galvanizing lines, including centrifuge, rod, conveyer and a 42-foot structural kettle. Terms of the transaction were not disclosed and are subject to customary terms and conditions. The transaction is expected to close in the spring of 2019, pending completion of final due diligence activities. The facility will operate as AZZ Galvanizing – Chattanooga and will retain key managerial personnel and hourly employees currently employed at the facility.
Bryan Stovall, Senior Vice President of AZZ Metal Coatings, said, “The purchase of Tennessee Galvanizing expands our network of metal coatings facilities in North America that are able to provide a broad spectrum of metal coating services – from small piece goods to large components. We look forward to ensuring a smooth integration into the AZZ family, with uninterrupted customer service and continued employment for their employees. We believe that existing and potential customers served by AZZ Galvanizing – Chattanooga will benefit from AZZ’s economies of scale.”
The acquisition will increase AZZ’s Metal Coatings network of hot-dip galvanizing plants to 41 sites in the United Statesand Canada. The company expects AZZ Galvanizing – Chattanooga to be accretive to earnings within the first year of operation.