Sources: Ameron International Corp., Pasadena, Calif.; CP staff
Ameron stockholders will convene October 5 to vote on proposals related to a takeover by Houston-based National Oilwell Varco Inc. The companies’ boards jointly announced July 1 an agreement whereby NOV would acquire Ameron in an all-cash transaction, with stockholders receiving $85/share—a 27 percent premium to mid-year trading. Ameron indicated a forthcoming meeting for the vote in a preliminary proxy statement filed with the Securities and Exchange Commission in mid-August. Per agency rules, it will file in early September a final proxy with full details on the merger proposals, meeting and voting.
An equipment player for oil & gas drilling and production, with Grainger-style catalog for the energy industry, NOV views Ameron’s largest business—fiberglass-composite pipe for transporting oil, chemicals and corrosive fluids—as most strategic to its portfolio.
Under current construction market conditions, fiberglass pipe shipments account for nearly 50 percent of the company’s sales, the remaining volume primarily from a) Ameron Hawaii Division, which produces ready mixed, aggregate and precast at seven plants on the islands of Oahu and Maui and runs fleet of about 100 mixers; b) Ameron Water Transmission Group, which produces concrete drainage, plus concrete or steel pressure pipe, at a Phoenix and two California plants; and, c) Ameron Pole Products Division, which manufactures spun-cast prestressed concrete and steel poles at Alabama, California, Oklahoma and Washington plants.