Schnitzer subsidiary agrees to buy scrap company
Schnitzer Steel Industries wholly owned subsidiary RRC Acquisition LLC has signed an agreement to purchase all substantial assets of Regional Recycling LLC. The deal, totaling $65.5 million with the assumption of certain liabilities, will net Schnitzer 10 metals recycling facilities in Georgia and Alabama. Said John D. Carter, Schnitzer president and CEO: We are very pleased to add the Regional facilities and its employees to Schnitzer Steel. The Regional acquisition is our initial step in growing the East Coast businesses that we will receive upon closing of the separation agreement with Hugo Neu Corporation. The Regional franchise is well situated to continue to participate in the growing market for recycled metals in the southeastern U.S., which is home to many new automobile and auto parts manufacturers. Oregon-based Schnitzer is one of the nations largest recyclers of ferrous metals, and a manufacturer of finished steel products.