It is also important to recognize that in connection with the transaction, Acerinox has committed to invest $170 million into our operations with the vast majority invested in Kokomo, Indiana. We look forward to sharing more about this next chapter with our local communities when we have more details in the future.
While it is early days in this process and many decisions have not yet been made, it is important to call out that in Acerinox’s recent acquisitions in the U.S., Germany and South Africa, they have retained the company’s teams. With this in mind, we expect a similar experience in our integration with North American Stainless.
It remains business as usual and we will continue to operate as an independent company until the transaction closes, which we expect will occur in the third calendar quarter of 2024. Our utmost priority is making this a smooth transition for our people.
It is important to note that today’s announcement is only the first step in this process. North American Stainless and Acerinox are excited about the opportunities ahead for Haynes and together we will build upon our already strong foundation and strengths, continue to drive innovation and provide our customers with the highest quality alloys, products, applications and services.
As you can appreciate, it’s very early days in this process and many decisions have not yet been made. In the coming weeks and months, leaders from both companies will discuss integration planning and we will design thoughtful integration plans to bring the combination to life.
Until then, it remains business as usual and we will continue to operate as an independent company until the transaction closes, which we expect will occur in the third calendar quarter of 2024.
Cautionary Statement Regarding Forward-Looking Statements
This communication contains statements that constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. All statements other than statements of historical fact, including statements regarding market and industry prospects and future results of operations or financial position, made in this communication are forward-looking. In many cases, you can identify forward-looking statements by terminology, such as “may”, “should”, “expects”, “intends”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of such terms and other comparable terminology. Statements in this communication that are forward looking may include, but are not limited to, statements regarding the benefits of the proposed acquisition of Haynes International, Inc. (“Haynes”) by North American Stainless, Inc. (“Parent”) and the associated integration plans, expected synergies and capital expenditure commitments, anticipated future operating performance and results of Haynes, the expected management and governance of Haynes following the acquisition and expected timing of the closing of the proposed acquisition and other transactions contemplated by the merger agreement governing the proposed acquisition (the “Merger Agreement”).
There may also be other statements of expectations, beliefs, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are difficult to predict and are generally outside Haynes’ control, that could cause actual performance or results to differ materially from those expressed in, or implied or projected by, the forward-looking statements. Such risks and uncertainties include, but are not limited to: the occurrence of any event, change or other circumstance that could give rise to the right of Haynes or Parent or both of them to terminate the Merger Agreement, including circumstances requiring a party to pay the other party a termination fee pursuant to the Merger Agreement; the failure to obtain applicable regulatory or Haynes stockholder approval in a timely manner or otherwise; the risk that the acquisition may not close in the anticipated timeframe or at all due to one or more of the other closing conditions to the transaction not being satisfied or waived; the risk that there may be unexpected costs, charges or expenses resulting from the proposed acquisition; risks related to the ability of Haynes and Parent to successfully integrate the businesses and achieve the expected synergies and operating efficiencies within the expected timeframes or at all and the possibility that such integration may be more difficult, time consuming or costly than expected; risks that the proposed transaction disrupts Haynes’ or Parent’s current plans and operations; the risk that certain restrictions during the pendency of the proposed transaction may impact