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33 Metal Producing

Back to the Future for MetalSite with New Buyer

MSA sees fit for eCommerce with scheduling, process control offerings

Management Science Associates Inc. (MSA), Pittsburgh, signed a letter of intent to purchase the assets of MetalSite Inc., the idle Internet marketplace. MetalSite was the first of dozens of ventures to introduce eCommerce to the spot market for steel products, a niche it later expanded beyond flat-rolled carbon steel to other shapes and grades, as well as to scrap. Its ScrapSite division is included in MSA's purchase agreement.

No purchase price was reported.

MSA is also the founder of MSA PASS (MSA Process Automation Solutions & Services), which will integrate its "real-time scheduling and process control" package with the MetalSite and ScrapSite software.

Dr. Alfred Kuehn, founder and chairman of MSA, said, "We believe MetalSite’s assets are an excellent fit with MSA and MSA PASS. MSA played leading-edge roles with technologies underlying e-commerce," he pointed out, citing electronic data interchange, Internet browsers, databases, data mining, on-line analytic processing, security, and privacy practices to assure business continuity. "MSA PASS has been developing real-time systems and solutions for the North American steel industry since 1982. We believe the Web has a good future in procurement and selling of steel, scrap metals, and other industrial and commercial products."

Kuhn said that the Internet continues to be a solid platform for buying and selling steel, scrap, and industrial and commercial products. He listed several factors that MSA will provide to help MetalSite succeed, including:
  • MSA’s "record of providing a level playing field for clients within highly competitive industries";
  • Its success at developing supply chain systems; and
  • Its domain knowledge and practical experience at working with steelmakers.
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