Australian company looks to bulk up its scrap metal business with acquisitions in New Zealand, Australia.
CMA Corp. Ltd. announced the acquisition of two scrap metal companies.
The first acquisition for CMA was the Auckland, New Zealand-based Scrap Metal Recyclers, the largest privately owned scrap metal company in New Zealand. The company is focused on scrap metal processing and recycling. The company also has a significant bin distribution and collection program.
Additionally, CMA acquired NY Metal Recyclers, the second largest scrap recycling in the Northern Territory of Australia.
CMA will pay around $15.8 million for the two businesses. The company hopes to complete the two deals within one month.
Paul Adams, CMA’s managing director, noted, “The New Zealand and Darwin (Australia) businesses provide CMA with an outstanding platform for growth in the current financial year and beyond.”
The acquisitions follow CMA’s strategy of acquiring new metal processing businesses that were compatible with current activities.
Top management for both acquired companies are expected to remain with their respective companies after the complete of the acquisition.
CMA, based in Australia, was established through the merger of two companies, scrap metals recycler T&T Group and contracting group Moltoni Adams. The company operates two business groups. The first group is focused on the metals recycling business, including collection and processing.
In the other business division, the company has contracting operations in resource sector plant de-commissioning, industrial demolition and dredging, site clearance and remediation.