MRC Global To Sell Canadian Business To Emco

(RTTNews) - MRC Global Inc. (MRC), a provider of pipe, valve, and fitting products and services, said on Monday that its subsidiary, MRC Global (Canada) ULC, has inked a deal to sell its Canadian operations to Emco Corporation.

The company plans to use the proceeds from this transaction, to be closed in the first half of 2025, to reduce debt.

Rob Saltiel, CEO of MRC Global, said: "This divestiture will reposition our strategic focus and future capital investment decisions on our core geographies and product offerings that provide the strongest growth and profit potential. The sale of our Canada business is expected to be accretive to our total company adjusted gross margins and adjusted EBITDA margins."

As a result of this transaction, for the fourth quarter, MRC expects to record a pre-tax, non-cash loss from discontinued operations of around $25 million.