On Tuesday, Nucor Corporation announced in a press release that The David J. Joseph Company (DJJ), the company's wholly owned subsidiary, has acquired two scrap recycling companies.
DJJ has signed a purchase agreement for the assets of the American Compressed Steel operations of Secondary Resources, Inc. of Kansas City, Missouri. The acquisition, expected to close within a month, will allow American Compressed Steel to join part of DJJ's Advantage Metals Recycling group.
American Compressed Steel processes approximately 180,000 net tons of scrap per year and has three locations in Missouri -- Kansas City, St. Joseph, and Sedalia.
Furthermore, DJJ has completed the purchase of Victoria Recycling, a Texas-based company that processes over 24,000 net tons of scrap annually. The company has been affiliated with another DJJ regional company, Texas Port Recycling, since June 2008.
Regarding the acquisitions, Daniel R. DiMicco, Nucor's chairman, CEO, and president commented, "The addition of the American Compressed Steel and Victoria Recycling facilities demonstrates one more step toward helping Nucor achieve our long-term goal of expanding scrap sourcing, using DJJ as a platform for that growth."
Nucor, the largest ferrous scrap buyer in North America, purchased close to 23 million net tons in 2007.