Steel and steel product manufacturer Nucor Corporation announced on April 1 that it has acquired the data center infrastructure manufacturer and installer Southwest Data Products (SWDP) for $115 million. The company also announced its new business unit, Nucor Data Systems.
Chad Utermark, Nucor’s executive vice president of new markets and innovation, said in a press release, “We are excited to add SWDP and new teammates to our Nucor family of companies. This acquisition will give us new capabilities to serve a rapidly growing market and will bolster Nucor as a preferred supplier to many of the nation’s largest and most innovative hyperscale cloud and colocation data center operators. The SWDP acquisition furthers our ‘expand beyond’ strategy to invest in steel-centric businesses that operate outside of the cyclical nature of steel production.”
Nucor reports that SWDP and Nucor Data Systems will improve the company’s capabilities with airflow containment structures and new product manufacturing. The acquisition is further enhanced, Nucor reports, by the compatibility between the steels provided by Nucor facilities and the steels required for SWPD’s manufacturing processes.
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