CLEVELAND, June 8, 2021 /PRNewswire/ -- Nucor, a leading supplier of steel and prefabricated metal buildings, announced yesterday that it was acquiring the insulated metal panels business of Cornerstone Building Brands for $1.0 billion. The transaction, which is expected to be completed in the second half of 2021, will bolster Nucor's presence in the commercial construction market.
According to Freedonia Group industry analyst Matt Zielenski, "Nucor was already a leading manufacturer of prefabricated metal buildings and structural components, such as joists and roof decks. By purchasing Cornerstone Building Brands' insulated metal panels business, Nucor will be able to broaden its product offerings. Insulated metal panels are increasingly used in roof and wall assemblies because of their ability to reduce the time and cost of construction jobs while also enhancing the energy efficiency of the structures in which they are used. Nucor will be able to offer these items not only in its own prefabricated metal buildings, but also alongside its other metal structural components lines."
For Cornerstone Building Brands, noted Zielenski, the divestiture of the insulated metal products business offers two advantages. First, proceeds from the sale of the business can be used to reduce debt. Second, the divestiture will allow the company to better position itself as a provider of building materials to the residential market, particularly the key remodeling segment, where the Cornerstone Buildings Brands is a leading supplier of siding and windows and doors.
For more information on the outlook for insulated metal panels and other metal building materials, see the Construction & Building Products page on the Freedonia Group website, or check out such Freedonia Group studies as:
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