Chaparral, Gerdau clear waiting period hurdle in merger deal

By Lisa Kerner

Charlotte, N.C., Aug. 23 - The Hart-Scott-Rodino waiting period in the proposed merger of Chaparral Steel Co. and Gerdau Ameristeel Corp. ended on Wednesday with no additional action taken by the Federal Trade Commission, according to the companies' news release.

Chaparral stockholders are expected to vote on the merger deal at a special meeting on Sept. 12.

Gerdau seeks to acquire Chaparral for $86 per share in a cash transaction valued at $4.22 billion.

On April 25, Chaparral announced it would review strategic alternatives, including a possible sale of the company. The Midlothian, Texas-based company produces structural steel beams and supplies steel bar products.

Gerdau, a subsidiary of Gerdau SA, is based in Tampa, Fla., and operates as a minimill steel producer through its subsidiaries.

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