The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

  • Metals and electronics recycling company Sims (SGM) has increased its North American footprint by purchasing assets from leading aluminium processor Alumisource for US$22.5 million (A$29 million)
  • Sims is expecting the purchase to increase its North American non-ferrous sales by 33,000 tonnes from 140,000 tonnes last financial year
  • Alumisource’s founder and CEO Gabe Hudock will continue to manage the business for a minimum of three to five years
  • On the market today, Sims is up 1.25 per cent and is trading at $12.57 per share

Sims (SGM) has purchased certain commercial and operating assets off leading North American aluminium processor Alumisource.

Sims purchased the assets for US$22.5 million (A$29 million) with further payments expected over the next three to five years.

The metals and electronics recycling company is expecting the purchase to increase its North American non-ferrous sales by 33,000 tonnes from 140,000 tonnes last financial year.

Sims CEO and Managing Director Alistair Field is pleased to achieve this key milestone.

“Major aluminium customers in the United States continue to seek product that is suitable for direct charging. Alumisource meets these needs by providing ‘inspec’ furnace ready product in an automated and safe manner,” he said.

“Alumisource is an ideal fit with our purpose, create a world without waste to preserve our planet, and our sustainability goals. One tonne of aluminium produced from recycled sources mitigates 7.9 tonnes1 of carbon emissions compared to aluminium produced from virgin material,” he added.

Additionally, Alumisource’s founder and CEO Gabe Hudock will continue to manage the business for a minimum of three to five years.

“Sims has a longstanding relationship with Alumisource, and I know the culture that Gabe has cultivated around safety and sustainability fits well with our overall culture and our focus on safety,” Alistair said.

“We are committed to a disciplined capital management approach and ensuring that new capital investments fit with our strategy and purpose, as well as meeting minimum hurdle requirements,” he concluded.

On the market today, Sims is up 1.25 per cent and is trading at $12.57 per share at 1:44pm AEDT.

SGM by the numbers
More From The Market Online
Small pile of rare earth minerals

Critica confirms high grade REE mineralisation at Jupiter with 3,074 ppm intercept

Critica Ltd has confirmed high grade REE mineralisation at the Jupiter target, part of the larger…
AI gen vanadium flow battery concept

Aussie Vanadium unveils vision for a 100MW modular vanadium flow battery

Australian Vanadium has kicked off Project Lumina, seeking to build a modular 100MW Vanadium Flow Battery…
Crosse section of the earth

Earths Energy confirms Paralana as an Enhanced Geothermal Systems Program project

Earths Energy Ltd has completed preliminary work on its Techno Economic Feasibility study for the Paralana…
India Europe trade concept

Evion Group to ink first $2M from sales of expandable graphite to Europe

Evion Group has confirmed it's set to receive around A$2M in payments to its India-based JV…