Steel Dynamics Completes Acquisition of the Remaining 55% Ownership Interest in New Process Steel

Rhea-AI Summary

Steel Dynamics (NASDAQ: STLD) completed the acquisition of the remaining 55% ownership interest in New Process Steel on Dec. 1, 2025. New Process Steel is a metals solutions and distribution supply‑chain company headquartered in Houston, Texas, focused on value‑added manufacturing.

New Process operates four U.S. and two Mexico manufacturing locations, including sites at Steel Dynamics' Butler, Indiana and Columbus, Mississippi divisions, and employs approximately 1,275 people. The company is currently Steel Dynamics' single largest flat roll steel customer. Management cited expanded exposure to value‑added manufacturing and continued service to flat rolled steel customers.

Positive

• Remaining 55% acquired on Dec. 1, 2025
• Adds six manufacturing locations (four U.S., two Mexico)
• Acquires workforce of ~1,275 employees
• Secures New Process, Steel Dynamics' single largest flat roll steel customer

Negative

• Customer concentration shifts as New Process was the company's single largest flat roll steel customer

News Market Reaction

+0.01%

1 alert

+0.01% News Effect

On the day this news was published, STLD gained 0.01%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Remaining interest acquired: 55% ownership interest Manufacturing locations: 6 locations Employees: 1,275 individuals +5 more

8 metrics

Remaining interest acquired 55% ownership interest Acquisition of New Process Steel remaining equity

Manufacturing locations 6 locations Four U.S. and two Mexico facilities for New Process Steel

Employees 1,275 individuals New Process Steel workforce

Notes due 2028 $650 million 4.000% notes issued in offering

Additional 2035 notes $150 million Reopened 5.250% notes due 2035 at 101.443%

Notes redeemed $400 million 5.000% notes due 2026 called for redemption

Quarterly dividend $0.50 per share Fourth quarter 2025 cash dividend

Coupon on 2026 notes 5.000% Rate on notes being redeemed Dec 21, 2025

Market Reality Check

Price: $186.55 Vol: Volume 1,057,996 vs 20-da...

normal vol

$186.55 Last Close

Volume Volume 1,057,996 vs 20-day average 1,152,356 (relative volume 0.92x). normal

Technical Price $173.01 is trading above the 200-day MA at $135.49, near the $172.94 52-week high.

Peers on Argus

STLD was up 3.51% with major peers also positive: NUE +1.59%, GGB +1.96%, MT +1....

STLD was up 3.51% with major peers also positive: NUE +1.59%, GGB +1.96%, MT +1.22%, PKX +0.81%, RS +0.51%, suggesting a supportive steel tape alongside the acquisition news.

Historical Context

5 past events · Latest: Dec 01 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 01	Acquisition completion	Positive	+0.0%	Completed purchase of remaining 55% of New Process Steel.
Nov 21	Debt refinancing	Positive	+3.3%	Completed notes offering and called 2026 notes for redemption.
Nov 11	Leadership change	Neutral	-0.0%	Appointed new head of metals recycling and OmniSource president.
Nov 07	Dividend declaration	Positive	-0.6%	Declared Q4 2025 cash dividend of $0.50 per share.
Oct 27	Product launch	Positive	+3.3%	Launched lower-embodied-carbon BIOEDGE and EDGE steel products.

Pattern Detected

Positive strategic and product news has generally seen aligned or modestly positive price reactions, while dividend news once saw a small negative divergence.

Recent Company History

This announcement completes the acquisition of the remaining 55% of New Process Steel, following the earlier August agreement. Over the last few months, Steel Dynamics has executed a notes offering and redemption, launched lower-embodied-carbon products BIOEDGE™ and EDGE™, declared a $0.50 Q4 2025 dividend, and made leadership changes in metals recycling. Price reactions were mostly aligned with positive or strategic news, with only the dividend headline showing a modest negative move, framing today’s acquisition completion within an ongoing capital and product strategy.

Market Pulse Summary

This announcement completes Steel Dynamics’ acquisition of the remaining 55% of New Process Steel, i...

Analysis

This announcement completes Steel Dynamics’ acquisition of the remaining 55% of New Process Steel, its largest flat roll steel customer with 6 plants and about 1,275 employees. It follows an August agreement to buy the same stake and recent balance sheet moves, including redeeming $400M of 2026 notes and declaring a $0.50 quarterly dividend. Investors may track integration progress, any updates on value-added manufacturing growth, and how this customer concentration influences future strategic and capital decisions.

Key Terms

restricted stock units, restricted stock, equity incentive plan, rule 16b-3, +4 more

8 terms

restricted stock units financial

"he received 341 restricted stock units for no cash consideration"

Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.

restricted stock financial

"grant of 341 shares of common stock for no cash consideration, structured as restricted stock"

Shares granted to an individual that carry limits on transfer or sale until certain conditions are met, such as staying with the company for a set time or hitting performance targets. Think of them as a locked gift that gradually opens; for investors they matter because they affect how many shares may enter the market later, signal management incentives and potential dilution, and reveal confidence in future company performance.

equity incentive plan financial

"under the company’s equity incentive plan, subject to a two-year vesting period"

An equity incentive plan is a program that gives employees, executives or directors the right to receive company stock or options to buy stock as part of their pay. Think of it as offering slices of future company profit to motivate people to boost long‑term performance; for investors it matters because it can align employee goals with shareholder value but also increases the number of shares outstanding, which can dilute existing ownership.

rule 16b-3 regulatory

"grant is exempt from certain short-swing profit rules under Rule 16b-3"

Rule 16b-3 is a Securities and Exchange Commission regulation that exempts certain routine, pre-approved transactions by company insiders from automatic liability for short-term trading profits. It acts like a safe harbor: if an insider follows a formal plan or the board approves specific transactions in advance, profits from buying and selling company stock within six months are not automatically reclaimed. Investors care because the rule clarifies when insider trades are permissible and reduces uncertainty about potential clawbacks.

electric arc furnace technical

"produced exclusively using electric arc furnace (EAF) technology"

An electric arc furnace is an industrial furnace that melts scrap metal or direct-reduced iron by creating intense heat from an electric arc between electrodes, like a giant, high-powered electric oven that turns metal pieces into molten steel. Investors care because it determines a steelmaker’s energy costs, flexibility to use recycled material, and greenhouse gas footprint—factors that affect profitability, raw-material exposure, and regulatory or public-pressure risks.

scope 2 technical

"certificates to reduce Scope 2 emissions"

Scope 2 covers the greenhouse gas emissions produced indirectly when a business uses energy it buys from others—most commonly electricity, but also steam, heating or cooling. Think of it like the pollution linked to your household’s electricity bill: you didn’t burn the fuel yourself, but your consumption still causes emissions. Investors watch Scope 2 because it affects a company’s climate footprint, energy costs, regulatory exposure and reputation, all of which can influence long‑term financial performance.

scope 1 technical

"BIOEDGE additionally uses renewable biocarbon... targeting reductions in Scope 1 emissions"

Scope 1 are the greenhouse gas emissions a company produces directly from sources it owns or controls, like fuel burned in company vehicles, boilers, or on-site factories. Think of it as the smoke coming out of a business’s own chimney versus electricity it buys from the grid. Investors watch Scope 1 because these direct emissions can create regulatory costs, operational changes, and reputational risks that affect profitability and long-term value.

green-e energy certified regulatory

"paired with Green-e Energy certified renewable energy certificates"

A Green-e Energy certification is an independent label that verifies renewable energy and the associated renewable energy certificates meet strict environmental and consumer-protection standards; it’s awarded after audits confirm the power really comes from wind, solar, geothermal or similar sources and is tracked so it isn’t counted twice. For investors, the label signals credible claims about a company’s clean-energy use or offsets—like a nutrition label for electricity—reducing greenwashing risk and helping assess sustainability claims that can affect reputation, regulatory exposure and long-term value.

AI-generated analysis. Not financial advice.

FORT WAYNE, Ind., Dec. 1, 2025 /PRNewswire/ -- Steel Dynamics, Inc. (NASDAQ/GS: STLD) today announced its completion of the acquisition of the remaining 55% equity interest in New Process Steel, L.P. ("New Process Steel" or "New Process"). New Process Steel is a metals solutions and distribution supply-chain management company headquartered in Houston, Texas, with a focus toward growing its value-added manufacturing applications.

"The acquisition of New Process expands our exposure to value-added manufacturing opportunities, while continuing to serve our other long-standing flat rolled steel customer needs," stated Mark D. Millett, Chairman and Chief Executive Officer. "New Process has a reputation for high-quality standards and strong customer relationships. With this next step, we believe New Process will continue to have value-added manufacturing growth opportunities. We welcome the New Process teams to the Steel Dynamics family."

New Process Steel Investment Overview
New Process Steel is a prominent North American metal products manufacturer and supply-chain solutions provider, headquartered in Houston, Texas, with two manufacturing locations in Mexico and four manufacturing locations in the U.S., two of which are located at Steel Dynamics' Butler, Indiana and Columbus, Mississippi divisions. New Process Steel was purchased in 1952 by Gene Fant, the father of New Process' Chief Executive Officer, Richard Fant. Richard Fant has significantly grown, modernized, and diversified New Process during his over 25-year tenure as CEO. New Process employs approximately 1,275 individuals and is currently Steel Dynamics' single largest flat roll steel customer.

About Steel Dynamics, Inc.
Steel Dynamics is a leading industrial metals solutions company, with facilities located throughout the United States, and in Mexico. The company operates using a circular manufacturing model, producing lower-carbon-emission, quality products with recycled scrap as the primary input. Steel Dynamics is one of the largest domestic steel producers and metal recyclers in North America, combined with a meaningful downstream steel fabrication platform. The company is also currently investing in aluminum operations to further diversify its product offerings, with plans to supply aluminum flat rolled products with high recycled content to the countercyclical sustainable beverage can industry, in addition to the automotive and industrial sectors.  Steel Dynamics is committed to operating with the highest integrity and to being the safest, most efficient producer of high-quality, broadly diversified, value-added metal products.

Forward-Looking Statements
This press release contains some predictive statements about future events, including statements related to conditions in domestic or global economies, conditions in steel, aluminum, and recycled metals market places, Steel Dynamics' revenues, costs of purchased materials, future profitability and earnings, and the operation of new, existing or planned facilities. These statements, which we generally precede or accompany by such typical conditional words as "anticipate", "intend", "believe", "estimate", "plan", "seek", "project", or "expect", or by the words "may", "will", or "should", are intended to be made as "forward-looking", subject to many risks and uncertainties, within the safe harbor protections of the Private Securities Litigation Reform Act of 1995. These statements speak only as of this date and are based upon information and assumptions, which we consider reasonable as of this date, concerning our businesses and the environments in which they operate. Such predictive statements are not guarantees of future performance, and we undertake no duty to update or revise any such statements. Some factors that could cause such forward-looking statements to turn out differently than anticipated include: (1) domestic and global economic factors; (2) global steelmaking overcapacity and imports of steel, together with increased scrap prices; (3) pandemics, epidemics, widespread illness or other health issues; (4) the cyclical nature of the steel industry and the industries we serve; (5) volatility and major fluctuations in prices and availability of scrap metal, scrap substitutes and supplies, and our potential inability to pass higher costs on to our customers; (6) cost and availability of electricity, natural gas, oil, and other energy resources are subject to volatile market conditions; (7) increased environmental, greenhouse gas emissions and sustainability considerations from our customers and investors or related regulations; (8) compliance with and changes in environmental and remediation requirements; (9) significant price and other forms of competition from other steel and aluminum producers, scrap processors and alternative materials; (10) availability of an adequate source of supply of scrap for our metals recycling operations; (11) cybersecurity threats and risks to the security of our sensitive data and information technology; (12) the implementation of our growth strategy; (13) our ability to retain, develop, and attract key personnel; (14) litigation and legal compliance; (15) unexpected equipment downtime or shutdowns; (16) governmental agencies may refuse to grant or renew some of our licenses and permits; (17) our senior unsecured credit facility contains, and any future financing agreements may contain, restrictive covenants that may limit our flexibility; and (18) the impacts of impairment charges.

More specifically, we refer you to our more detailed explanation of these and other factors and risks that may cause such predictive statements to turn out differently, as set forth in our most recent Annual Report on Form 10-K under the headings Special Note Regarding Forward-Looking Statements and Risk Factors, in our Quarterly Reports on Form 10-Q, or in other reports which we file with the Securities and Exchange Commission. These reports are available publicly on the Securities and Exchange Commission website, www.sec.gov, and on our website, www.steeldynamics.com under "Investors – SEC Filings."

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SOURCE Steel Dynamics, Inc.

FAQ

What did Steel Dynamics announce about New Process Steel on Dec. 1, 2025 (STLD)?

Steel Dynamics announced it completed acquisition of the remaining 55% ownership in New Process Steel on Dec. 1, 2025.

How many employees and facilities does New Process Steel add to Steel Dynamics (STLD)?

New Process employs approximately 1,275 people and operates four U.S. and two Mexico manufacturing locations.

What strategic benefit did Steel Dynamics cite for acquiring New Process Steel (STLD)?

The company said the deal expands exposure to value‑added manufacturing while continuing to serve flat rolled steel customers.

Which Steel Dynamics divisions host New Process manufacturing sites after the acquisition (STLD)?

Two New Process manufacturing locations are at Steel Dynamics' Butler, Indiana and Columbus, Mississippi divisions.

Does this acquisition change Steel Dynamics' customer relationships (STLD)?

Yes; New Process was identified as Steel Dynamics' single largest flat roll steel customer, now brought into the company.