Nucor to buy ArcelorMittal's Skyline Steel LLC

Thu May 17, 2012 10:01pm EDT

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(Reuters) - Steelmaker Nucor Corp (NUE.N) said it will buy steel foundation distributor Skyline Steel LLC from ArcelorMittal (ISPA.AS) for about $605 million.

Skyline Steel, which operates in the United States, Canada, Mexico and the Caribbean, will become a wholly owned unit of Nucor after the deal is completed.

In April, North Carolina-based Nucor reported a drop in first-quarter profit on pricing and margin weakness, as well as competition from foreign imports.

ArcelorMittal will continue to provide Skyline Steel with sheet piling and wear resistant products.

Separately, ArcelorMittal, the world's largest steelmaker, said the sale will have a limited impact on its wider business.

(Reporting by Sharanya Hrishikesh in Bangalore; Editing by Daniel Magnowski)

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