Atlas Holdings closes EVRAZ North America purchase and unveils Orion Steel
A steel company born out of sanctions and reshaped for a lower-carbon future now has a new owner and a new name. Atlas Holdings has completed its acquisition of EVRAZ North America, creating the Orion Steel Companies and uniting flagship operations in Pueblo, Colorado; Portland, Oregon; and Regina, Saskatchewan under a single brand.
The deal closed on July 31, 2025. The terms include an immediate $50 million payment and up to $450 million in contingent consideration tied to post-close milestones. Earn-out structures like this usually hinge on performance targets and operational milestones over time, aligning the final price with how the business performs under its new owner.
Orion Steel is built around three legacy names and sites: Rocky Mountain Steel in Pueblo, Oregon Steel Mills in Portland, and Interpro Pipe and Steel in Regina with additional locations across Alberta. The new brand keeps the historical identities visible while signaling a reset that separates the business from its former Russian parent.
Atlas appointed Doug Matthews as Chief Executive Officer. Matthews is a veteran steel executive with three decades in the industry, most recently at U.S. Steel. He succeeds James “Skip” Herald, who steered the company through a turbulent stretch dating back to 2019 and will remain on Orion Steel’s board. “As a well-capitalized strategic supplier, Orion Steel is poised to become a central player in the North American market,” Matthews said, calling the change “a bold new chapter.”
The combined footprint is sizable: two electric arc furnace (EAF) steelmaking facilities, 12 steel product mills, and 17 scrap recycling sites employing about 3,400 people. Steelmaking capacity stands at 2.3 million tons a year, with finished steel capacity, including tubular products, at 3.5 million tons. The company says its products are typically made from more than 98% recycled scrap, positioning Orion in the growing segment of lower-carbon EAF steel.
The Pueblo site anchors that push. Long known for rail, the Rocky Mountain Steel facility is the largest rail supplier in North America and operates with power from what is billed as the world’s largest solar-powered steel mill setup. The Canadian operations are among the largest suppliers of energy tubulars on the continent, feeding oil and gas pipeline demand with large-diameter pipe and related products. In Portland, the legacy Oregon Steel Mills operation bolsters plate and other flat-rolled capabilities for construction, energy, and industrial customers.
The sale ends a long-running limbo for the business. EVRAZ North America was put up for sale in 2022 after its parent, EVRAZ plc, was sanctioned following Russia’s invasion of Ukraine. Although EVRAZ North America operated independently in the United States and Canada, any transaction involving a sanctioned parent demanded special clearances. Atlas says the deal was completed in accordance with a license granted by the United Kingdom and in compliance with sanctions. That paperwork was a prerequisite for closing and for insulating the North American operations from the legal and financial risks tied to the former parent.
For Atlas, a private investment firm with a track record in industrial turnarounds, Orion Steel fits a strategy of buying underinvested assets and making them competitive with capital, operational discipline, and sharper commercial focus. EAF-based production and an in-house scrap network offer a hedge against volatile iron ore markets and a more flexible way to scale output up or down with demand.
Expect Orion Steel to lean hard into domestic and regional supply. Rail, plate, and energy tubulars tie directly into North American infrastructure spending and grid buildout—everything from rail replacement programs to transmission lines and pipeline maintenance. U.S. “Buy America” requirements on federally funded projects and Canada’s own infrastructure needs give domestic producers a structural advantage, especially on products that are expensive to ship long distances.
The payment structure hints at how Atlas plans to create value. A smaller upfront check with a larger contingent tail is common when the target faces operational headwinds or market uncertainty. Hitting output, reliability, and margin targets—while locking in multi-year contracts with railroads, energy companies, and construction suppliers—are the types of milestones that typically release earn-out payments. Atlas has the incentive to fund maintenance, remove bottlenecks, and pursue incremental growth without betting the house.
On the ground, the immediate priorities look practical: stabilize and optimize the production schedule at the two EAF steelmaking sites, secure scrap flows through the 17 recycling facilities, and keep the order book tight at the rail and tubular mills. Rail demand tends to be steady, driven by replacement cycles and network expansions. Tubular demand can be more cyclical, tracking oil and gas capital spending, but service work and maintenance provide a baseline even in softer markets.
Sustainability is more than a buzzword here; it is the production model. EAF technology uses electricity to melt scrap rather than iron ore and coking coal, and when paired with renewable power—as in Pueblo—it materially lowers the carbon footprint per ton. That opens doors with customers setting Scope 3 emissions targets and looking to reduce embedded carbon in their supply chains. The fact that Orion’s products regularly contain over 98% recycled content is a selling point to infrastructure owners, utilities, and rail operators under pressure to report on emissions.
Branding matters after a change like this. Atlas kept familiar plant names while introducing the Orion umbrella, a nod to heritage without the baggage of the EVRAZ label. That balance should help with customer continuity and workforce morale. It also signals that the core business—rails, plate, and pipe—remains the center of gravity, not a sideline in a conglomerate portfolio.
The workforce of 3,400 is a meaningful economic anchor in each community. In Pueblo, steel has shaped the city’s identity for generations, and the solar-powered expansion has been a point of civic pride. In Portland and Regina, the mills and pipe operations support large ecosystems of contractors, carriers, and suppliers. Atlas typically invests in training and safety systems early; maintaining uptime in EAF operations is as much about skilled crews and preventive maintenance as it is about capex.
There is also a geopolitical undertone to this deal. Policymakers in Washington and Ottawa have pushed for more domestic production of critical materials and infrastructure inputs. Matthews framed Orion as a “well-capitalized strategic supplier,” a phrase that resonates with governments that want reliable, local steel for rails, pipelines, and grid components. If Orion secures long-term contracts tied to public works, the new ownership could become a quiet fixture in North America’s industrial policy era.
Risks remain. Steel is cyclical, energy markets swing, and competing imports will test pricing power when demand cools. At the same time, the mix of rail and energy tubulars, plus recycling, gives Orion a more diversified revenue base than many single-product mills. If Atlas hits its operational milestones and the market cooperates, the earn-out structure could become a roadmap for growth rather than a hurdle.
For now, the milestone is clear: EVRAZ North America is no more, Orion Steel is live, and the new leadership has the cash and the license to run. The real test starts with the next order, the next heat, and the next mile of rail rolling out of Pueblo.
What changes on the ground: capacity, strategy, and geopolitics
Capacity: 2.3 million tons of EAF steelmaking and 3.5 million tons of finished products give Orion mid-market scale with room to grow. With 17 scrap locations feeding two furnaces, the company can fine-tune input costs and charge mixes faster than blast furnace peers.
Strategy: focus on products where domestic proximity, reliability, and sustainability matter—rails, plate, and energy pipe. Expect Orion to court multi-year supply deals with railroads and utilities and target project-driven plate demand in construction and renewables.
Sustainability: the Pueblo solar pairing and high recycled content directly address customer emissions goals. EAF flexibility also lets Orion modulate output in downturns without the heavy fixed costs that burden blast furnaces.
Geopolitics: the sale, completed under a U.K. license and sanctions compliance, removes a structural overhang from the business. With a U.S.-based owner and North American footprint, Orion is positioned to benefit from infrastructure and energy security priorities in the U.S. and Canada.