Private Equity Partnership Revolutionizes The Steel Industry
WASHINGTON – The American Investment Council released a new video case study today on the successful partnerships between private equity funds and their portfolio companies. The video features TPG Growth, the middle market and growth equity platform of alternative asset firm TPG, and Big River Steel, an advanced steel mill located in Mississippi County, Arkansas.
In 2014, TPG Growth joined other investors in committing $1.6 billion to build the Big River Steel facility, the largest private investment in Arkansas history. Today, Big River Steel is noted as one of the most advanced, efficient, and environmentally friendly steel mills in the world. It converts scrap metal into high-quality steel, supplying customers in the automotive, agricultural, construction, and energy industries.
“I am proud of all we have accomplished at Big River Steel, from creating the world’s first Flex Mill, to achieving LEED certification, to the hundreds of jobs we’ve created in constructing and operating the mill,” said David Stickler, CEO of Big River Steel. “Working with the Osceola community, TPG, and our other investors, we look forward to continuing our path toward growth and innovation.”
Big River Steel represents the future of large-scale industrial projects, where big data and state-of-the-art equipment allow the facility to be productive and employ an approach that is positive for the environment. In fact, Big River Steel is the first steel production facility to be LEED-certified, a designation for buildings designed to maximize energy efficiency and utilize renewable, sustainable resources.
TPG Growth has been a partner in helping Big River Steel since its inception, advising on financing and product strategy as well as corporate governance. Since 2007, TPG Growth has supported hundreds of companies at all stages of growth, helping them realize their full potential.
“The Big River Steel journey has undoubtedly been one of the most gratifying and exciting in my 30 years of private equity investing,” said Mike Stone, Senior Advisor to TPG and CIO of The Rise Fund. “Dave and his surrounding team of operators and investors are a collection of true best in class resources, and the result is a phenomenal asset which will generate enormous impact in its industry and its community. We are privileged to be deeply engaged with such an outstanding group of individuals.”
Watch our latest video to learn more about how private equity is partnering with Big River Steel to advance the global steel industry.
About the American Investment Council
The American Investment Council (AIC)
is an advocacy and resource organization established to develop and provide information about the private investment industry and its contributions to the long-term growth of the U.S. economy and retirement security of American workers. Member firms of the AIC consist of the country’s leading private equity and growth capital firms united by their successful partnerships with limited partners and American businesses. More information about the AIC can be found www.investmentcouncil.org.
About Big River Steel
Big River Steel has built the world’s first Flex Mill™, a steel mini mill focused on the production of a wide product spectrum, including advanced automotive steels and electrical steels. Big River melted its first scrap metal and produced its first steel in December 2016. Over the past eleven months, the company has provided steel products to over 120 customers in the automotive, energy, construction and agricultural industries.
About TPG Growth
TPG Growth is the middle market and growth equity investment platform of TPG, the global private investment firm. With more than $8.3 billion of assets under management, TPG Growth targets investments in a broad range of industries and geographies. TPG Growth has the deep sector knowledge, operational resources, and global experience to drive value creation, and help companies reach their full potential. The firm is backed by the resources of TPG, which has more than $73 billion of assets under management. For more information, visit www.tpg.com.
