Synalloy acquires carbon-pipe distributor Specialty Pipe & Tube

Synalloy Corp. (Spartanburg, S.C.; www.synalloy.com) has announced that it has acquired Specialty Pipe & Tube, Inc., a distributor of seamless carbon pipe, with a focus on heavy-wall, large-diameter products. End markets for its products include oil-and-gas applications, as well as heavy equipment and other industrial businesses where high-pressure applications are required. Specialty Pipe & Tube was established in 1964 and has distribution centers in Mineral Ridge, Ohio and Houston. The company generates approximately $30 million in annual revenue. The transaction will be accretive to Synalloy’s earnings in the first year following the closing. The all-cash transaction is valued at $31.5 million, subject to working capital adjustments post-closing, and potential earn-out payments up to $5 million over two years should the business unit achieve targeted sales revenue.