Quanex shareholders OK merger with Gerdau

By Lisa Kerner

Charlotte, N.C., April 22 - Quanex Corp. said its shareholders "overwhelmingly" approved the company's merger with a subsidiary of Gerdau SA at a special meeting on Tuesday.

With approximately 90% of the company's shares represented, over 99% of the shares were voted in favor of the deal, according to a Quanex news release.

Quanex said it expects closing of the transaction to become effective at 5:05 p.m. ET on Wednesday.

It was previously announced that Quanex will merge its vehicular products business, including its Macsteel division, with a wholly owned subsidiary of Gerdau for $39.20 cash per share, or $1.67 billion.

Quanex's building products business will be spun off to shareholders as a standalone company called Quanex Building Products in a taxable distribution via a stock-for-stock exchange, a prior release stated.

Houston-based Quanex manufactures components for the vehicle and building products industries.

Gerdau is a Porto Alegre, Brazil-based steel manufacturer.

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