Sims Metal Sells Arizona Scrap Recycling Operations

Allan Gerlat, News Editor

December 3, 2012

1 Min Read
Sims Metal Sells Arizona Scrap Recycling Operations

Sims Metal Management Ltd. has sold two scrap metal recycling facilities in Arizona to SA Recycling LLC (SAR) for $35 million.

Orange, Calif.-based SAR, which is a joint venture of Sims Metal and Adams Steel, also retains through Sims Metal the working capital assets of the Arizona businesses, in Phoenix and Tuscon. That represents $15 million and brings the total expected cash generation of the sale to $50 million, Sims said in a news release. 

Sims Metal Management is based in Sydney, Australia, and is the parent of Chicago-based Sims Recycling Solutions. SAR has operations in California, Nevada and Arizona.

Sims Metal expects to report a $12 million (Australian) loss in its first half of fiscal 2013 related to the sale.

“This is an exciting growth opportunity for SAR and fits perfectly into our southwestern U.S. footprint,” said George Adams, SAR CEO.

About the Author(s)

Allan Gerlat

News Editor, Waste360

Allan Gerlat joined the Waste360 staff in September 2011 as news editor. He was the editor of Waste & Recycling News for the first 16 years of its history, and under his guidance the publication won 27 national and regional awards.

Before Waste & Recycling News, Allan worked at another Crain Communications publication, Rubber & Plastics News, which covers rubber product manufacturing. He began with the publication as associate editor and eventually became managing editor, a position he held for nine years.

Allan is a graduate of Ohio University, where he earned a BS in journalism. He is based in Sagamore Hills, in northeast Ohio.

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