Sims Metal Acquires Baltimore Scrap Corp

16 August 2023

Sims Metal , a major player in metal recycling on a global scale, today announced that it has completed the acquisition of the assets of Baltimore Scrap Corp (BSC), a company American metal recycling company, and its subsidiaries. The transaction is expected to close in October 2023 – subject to satisfaction of customary closing conditions, including required regulatory clearances.

BSC is one of the leading metal recyclers in the Northeast region of the United States. The company has 17 centers in 5 states (Maryland, Virginia, Pennsylvania, New York and New Jersey) and resells approximately 600,000 tons of recycled waste per year. BSC has 4 crushers as well as an extensive railway, port and barge landing infrastructure. The company also enjoys an advantageous location due to its proximity to growing domestic demand and export markets.

The total consideration for the acquisition is $177 million, excluding working capital and other adjustments to be determined at closing. The EV/EBITDA valuation multiple of the transaction is estimated at 5.4 over an average period of three years (before synergies). On an equivalent basis, after synergies, this same multiple should be brought to 4.2.

This transaction is part of Sims Metal's strategy to gain share in major markets by exploiting high-performing assets and generating high-quality, differentiated products through efficient logistics circuits to serve an ever-growing customer base.

“Baltimore Scrap Corp is a company we've admired for many years. It has a strong management team that has built an excellent business over the years,” said Alistair Field , Chairman and Managing Director of Sims Limited. “This acquisition harmoniously completes our strategy of developing metal recycling in North America and diversifying our sales channels in order to meet the growing demand for ferrous and non-ferrous scrap on the American market. I welcome the arrival of the staff of Baltimore Scrap Corp and its group of affiliates into the Sims family.”

Stephen Mikkelsen, Chief Financial Officer of Sims Limited, said: “The acquisition of BSC is another example of our capital recycling strategy. We expect the buyout to be largely funded by reallocating proceeds from the sale of non-core assets and other assets at risk of not achieving the required rate of return.”

About Sims Metal

Founded in Sydney in 1917, the Australian company Sims Metal has established itself over time as one of the largest metal recycling companies in the world. A division of Sims Limited , Sims Metal has facilities in Australia, the United Kingdom and the United States, where it sources and processes recyclable ferrous and non-ferrous metals for resale to manufacturers in 30 countries. Each year, Sims Metal recycles approximately 10 million tons of metal worldwide. In line with its mission to create a world without waste to preserve the planet, Sims Metal is preparing and adapting to the industrial and environmental changes that society is experiencing. Visit for more information.

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Investor Relations
Ana Metelo
Sims Limited
Director of Investor Relations
[email protected]

Media Relations
Réal Hamilton-Romeo
Sims Limited
Global Director of Communications and Marketing
[email protected]