Mexican firm buys Poplar Bluff factory, plans to expand

POPLAR BLUFF, Mo. -- Mid Continent Steel and Wire Inc. of Poplar Bluff will expand production and add 100 jobs, the new owners from Mexico announced Thursday.

"We have a short-term objective of increasing the production capacity to 100,000 tons per year," said Raul Guiterrez, one of the three brothers who own DEACERO, based in Monterrey, Mexico. "This will be 40 percent more than our present capacity."

DEACERO purchased the plant Thursday from David and Doug Libla, who started the firm in 1987.

"David will continue to run the company because we share the same vision," Guiterrez said. "The company will remain the same with the same organization."

As new products are added and production grows, Guiterrez expects "at least a 20 to 30 percent increase in employment" over a period of time. The plant has more than 300 employees.

Guiterrez identified two reasons DEACERO decided to make an investment in Poplar Bluff.

"The Liblas share our values; it is a family-owned company, and they share our vision and commitment to people," Guiterrez said.

Poplar Bluff being in the middle of the country is the second reason.

"Being near a large population within a 500-mile radius of Poplar Bluff gives us a competitive advantage," Guiterrez said.

David Guiterrez accompanied his brother to Poplar Bluff. The third brother, Sergio, could not be present. All three are graduates of Purdue University in West Lafayette, Ind.

"The people of Poplar Bluff have been very receptive. They are very friendly," Raul said. "We want to grow this company. We want to have a manufacturing presence in the United States."

DEACERO is a family-owned steel manufacturer that Raul and David's father, Cesar Guiterrez, started in 1952. The firm has more than $2 billion in sales and 7,000 employees.

"We are very excited to be in Poplar Bluff," Raul said. "The economy is turning around. Things are getting better."

David Libla said he and Doug are "equally excited to start a new chapter in our lives."

They had been buying steel from DEACERO for more than five years.

"We have a lot of trust in each other," David Libla said."They helped us to stay competitive with China."

Doug Libla said the new owners will be "very good" for their employees and for Poplar Bluff.

Steve Halter, president of the Greater Poplar Bluff Area Chamber of Commerce, also was present for the news conference.

"It is exciting to hear them talk about increasing production capacity and adding more jobs," Halter said.

DEACERO produces steel derivatives for the domestic and international agricultural, construction, home and industrial markets. The firm manufactures long steel products including rods and bars; wire products such as electric, fence and barbed wire; and nail products. DEACERO, Mexico's largest steel wire producer, has 13 wire plants in Mexico and two in Texas at Houston and New Braunfels; three steel mills in Mexico; 15 scrap metal processing facilities in Mexico; and 15 warehouses, including two in Laredo, Texas, and one in Indianapolis, Ind. The firm also has service centers in Oklahoma, Louisiana, Indiana, Illinois, West Virginia, Pennsylvania, California and Washington and an office building in Arizona.

Pertinent address:

Poplar Bluff, MO