Service Center Metals acquired by Riverstone Group LLC
Wednesday, July 17, 2019
AEC member company Service Center Metals (SCM), founded by Scott Kelley, Randy Weis and Chip Dollins, three Richmond, VA businessmen in 2002, has been acquired.
An affiliate of Richmond businessman William H. Goodwin Jr.’s Riverstone Group LLC, which is best known for its investments in real estate properties including The Jefferson Hotel in downtown Richmond and The Sea Pines Resort in Hilton Head, S.C., bought a majority ownership stake in the company.
“We’re excited about having a local company” as the majority owner, said Kelley, the president and chief executive officer of Service Center Metals.
Kelley said he and Dollins and a majority of the management team will remain with the company.
SCM, which opened its plant in Prince George, VA in 2003, has grown to employ 247 people with annual revenue of more than $225 million. Last year, the company announced a $45 million expansion of its factory and the addition of 58 jobs — its fourth expansion since it started operations. Last year, the company announced a $45 million expansion of its factory and the addition of 58 jobs — its fourth expansion since it started operations.
“The good thing is it means we can remain independent and keep our culture intact and keep our growth plans, which they [Riverstone] are fully committed to pursuing,” Kelley said. “We remain a Virginia-based company.”
In a statement, Riverstone said it is “pleased to have the opportunity to invest in one of the area’s outstanding companies.” Read more...