By Robb M. Stewart

Manufacturing-business owner DMC Global rebuffed the latest takeover bid from Steel Connect as too low.

DMC Global said it rejected Steel Connect's non-binding proposal to buy all the shares in the company it doesn't already own for $10.18 each in cash.

The company said the proposal fails to compensate shareholders for the turnaround in DMC Global's Arcadia business and for its longer-term potential to create value, and that it fails to compensate for any cyclical improvement in its DynaEnergetics business and the steps taken last year to improve the operation.

Steel Connect, a diversified holding company majority-owned by investment firm Steel Partners, already holds about a 9.9% stake in DMC Global.

Steel Connect last May offered to buy all of DMC Global's outstanding shares for $16.50 each in cash, which at the time valued DMC Global at about $330 million. Then in September, Steel Connect offered to buy DMC Global's DynaEnergetics and NobelClad businesses for between $185 million to $200 million in cash and DMC stock that it owns, and in November it proposed buying DMC Global preferred stock.

The series of approaches came after DMC Global in January 2024 announced plans to sell its DynaEnergetics and NobelClad businesses, though it has yet to agree any deal.

DMC Global said its business is stabilizing and that chief-executive search efforts are underway after the November departure of former CEO Michael Kuta. Executive Chairman James O'Leary is serving as interim CEO until a permanent successor is found.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

February 12, 2025 08:08 ET (13:08 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.