Chaparral Steel to Be Acquired - TheStreet

Chaparral Steel

(CHAP) - Get Report

, the second-largest producer of structural steel beams in North America, struck a deal to be acquired by

Gerdau Ameristeel

( GNA) for $86 a share, or $4.22 billion.

The agreement was unanimously approved by the boards of both companies.

Shares of Chaparral were rising 10.3% to $83.52 in premarket trading Wednesday. The companies expect to close the deal later this year.

Gerdau Ameristeel is the No. 2 mini-mill steel producer in North America.