Worthington Steel to Acquire Kloeckner in Major Deal
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Worthington Steel, Inc. ( (WS) ) just unveiled an update.
On January 15, 2026, Worthington Steel agreed a Business Combination Agreement to acquire German-listed Kloeckner & Co via an all-cash voluntary public takeover offer at €11 per share, backed by Kloeckner’s largest shareholder SWOCTEM GmbH, which has committed to tender its roughly 42% stake. The deal, which is subject to a 65% minimum acceptance threshold, regulatory approvals and other customary conditions, will be financed with a mix of cash and fully underwritten new debt, supported by an equity commitment of up to €1.632 billion and about US$1.9 billion in debt commitments, and is expected to close in the second half of 2026, tripling Worthington Steel’s sales to around $9.5 billion, creating the second-largest steel service center in North America, and delivering an estimated $150 million in annual run-rate synergies and substantially accretive earnings, while temporarily lifting leverage to around 4x before targeted deleveraging. The combination of Worthington Steel’s and Kloeckner’s complementary metal processing operations across North America and Europe is set to broaden products, end markets and geographic reach, with Kloeckner’s management expected to remain in place and both companies committing to an integration process designed to capture scale-driven efficiencies, enhance strategic offerings in key product categories and regions, and reinforce their shared emphasis on operational excellence for customers, employees and shareholders.
The most recent analyst rating on (WS) stock is a Buy with a $45.00 price target. To see the full list of analyst forecasts on Worthington Steel, Inc. stock, see the WS Stock Forecast page.
Spark’s Take on WS Stock
According to Spark, TipRanks’ AI Analyst, WS is a Outperform.
Worthington Steel, Inc. receives a strong overall stock score of 76.9, driven primarily by its robust financial performance and positive earnings call outcomes. The company’s strategic initiatives and market share gains are significant strengths. Technical analysis supports a bullish outlook, although valuation metrics suggest the stock is fairly priced. Challenges in toll processing volumes and SG&A expenses are noted but do not overshadow the company’s positive trajectory.
To see Spark’s full report on WS stock, click here.
More about Worthington Steel, Inc.
Worthington Steel (NYSE: WS), headquartered in Columbus, Ohio, is a North American metals processor specializing in carbon flat-roll steel processing, electrical steel laminations and tailor welded solutions, with value-added capabilities such as galvanizing, pickling, configured blanking, specialty cold reduction, lightweighting and electrical lamination. The company employs about 6,000 people and operates 37 facilities across seven U.S. states and 10 countries, focusing on highly technical, customized steel solutions for customers in diverse end markets, under a people-first philosophy and a conservative, sustainability-oriented financial approach.
Average Trading Volume: 235,024
Technical Sentiment Signal: Buy
Current Market Cap: $2.01B
For an in-depth examination of WS stock, go to TipRanks’ Overview page.
