Investment company now holds 19.2 percent ownership in Sims.
Mitsui & Co., Ltd., a trading, investment and service business based in Tokyo, has announced that its Sydney, Australia-based wholly owned subsidiary, Mitsui Raw Materials Development (MRMD) , has acquired an additional 3.2% of the issued ordinary shares of Sims Group Limited. MRMD purchased the shares in Sims, the world’s largest recycling company, for $198 million through the Australian Stock Exchange.
In June 2007, MRMD acquired 19.9 percent of the issued ordinary shares. When Sims acquired and merged with Metal Management Inc., in March 2008, MRMD’s ownership in Sims was diluted to 16 percent. After the recent share acquisition, MRMD now holds a 19.2 percent ownership in Sims, an accumulated investment of approximately $897 million. MRMD is the largest shareholder of Sims and has nominated two directors to Sims’ board of directors.
Mitsui recognizes scrap recycling as an industrial solution to environmental problems and has set recycling business as one of its key strategic business activities. Mitsui expects to enhance this business through this acquisition.