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Connecticut company to acquire EVRAZ‘s North American operations, including Regina's steel plant
Greenwich, Conn. based Atlas Holdings has announced it will acquire all of EVRAZ's North American operations, which includes the steel plant in Regina.
In a news release on Friday, the company says it anticipates the deal to close in the second half of 2025.
In August 2022, Evraz North America was put up for sale following a period of uncertainty over sanctions resulting from the Russian invasion of Ukraine earlier that year.
Along with Regina, EVRAZ has North American facilities in Colorado, Oregon, and Alberta.
Across North America, EVRAZ employs 3,400 people, according to Atlas Holdings.
In the release, Atlas partner Sam Astor said the company's goal is to invest in industrial businesses for the long term and provide capital and leadership expertise to grow companies and ensure success.
'Despite the global dynamics of the steel market and unique challenges facing the business, the EVRAZ team has continued to drive the business forward and we want to thank them for their hard work and dedication. This a major investment in creating a more vibrant domestic steel production industry right here in the United States and Canada,' Astor said in the release.
Atlas Holdings was founded in 2002 and along with its affiliates, owns and operates 27 companies that employ more than 57,000 people across 350 facilities worldwide, the release said.
James 'Skip' Herald, president and CEO of EVRAZ North America said the acquisition will be an exciting new chapter for EVRAZ North America, adding it brings long-term opportunity for employees, customers and the communities facilities operate in.
'Atlas shares our belief that a strong future starts with investing in the people who make it happen. Their strategic approach and track record of operational investment make them the right partner for our next chapter. With their support, we will be able to accelerate innovation, strengthen our operations, and continue delivering the high-quality steel our customers have relied on since 1881,' Herald said in the release.
In May 2022, about three months after the Russian invasion of Ukraine began, EVRAZ plc, the ultimate parent of EVRAZ North America, was sanctioned by the United Kingdom. The sanctions barred United Kingdom citizens and businesses from doing business with the Russian owned steel manufacturer. Shortly after, Atlas says the UK HM Treasury's Office of Financial Sanctions Implementation issued a general licence that allowed EVRAZ North America to continue business operations fully.
The Russian steelmaker completed its acquisition of IPSCO Inc.'s plate and pipe business in Canada in June 2008 for approximately USD$2.9 billion, that included the steel plant in Regina.
On Friday, United Steelworkers Regina (USW 5890) shared a letter that Herald sent to EVRAZ North America employees. In the letter Herald expressed his confidence of Atlas, adding that employees would be hearing from them 'very soon.'
The letter also indicated that Atlas representatives would begin visiting North American sites over the next few weeks.
'As we move through the transition, your well-being, success and continued development remain our highest priorities. Together, we'll continue to build a culture rooted in safety, collaboration, and respect, driving progress for EVRAZ North America and the North American Steel industry as a whole,' the letter reads.
