Cox Industries Inc., a privately held wood treating company based in Orangeburg, S.C., completed the acquisition of the U.S. utility pole business from Koppers Inc., a unit of Koppers Holdings Inc.
"This sale will allow Koppers to redeploy capital into businesses which we believe fit best with our growth strategy. Cox is in position to serve this business, and we can now focus a sharper attention to growing our railroad maintenance-of-way as we have over the past several years," said Leroy Ball, president and CEO of Koppers."
"The addition of the Koppers business provides Cox a broad customer and geographic platform within the U.S to further expand our already successful business in treated wood utility poles," said Cox Industries CEO Michael Johnson. "Koppers has a rich history in this industry serving a broad range of customers including Alliant Energy, Con Edison, First Energy and many others, and we look forward to integrating this successful business and its personnel into our company. We believe our operational strengths combined with our existing scale provides our customers with a broad selection of innovative products and services under the Cox name. Our solutions-based approach allows our customers to seamlessly purchase, track and dispose of utility poles through the variety of services we provide."
The transaction includes the sale of Koppers existing pole inventory, lease agreements related to multiple pole distribution yards Koppers maintains throughout the country, and the purchase of related manufacturing assets.
The transaction does not include the sale of Koppers wood treating facility located in Florence, South Carolina. Cox also announced it will open a new office in Pittsburgh, PA to allow for the successful transition of Koppers employees to Cox.