CMC subsidiary acquires seven OmniSource recycling yards

CMC subsidiary acquires seven OmniSource recycling yards

Scrap yards purchased are near CMC’s South Carolina minimill.

January 11, 2017
Recycling Today Staff

Owen Steel Co., Columbia, South Carolina, a subsidiary of Commercial Metals Co., headquartered in Irving, Texas, has signed a definitive asset purchase agreement to acquire certain assets from OmniSource Corp., a wholly owned subsidiary of Steel Dynamics Inc., Fort Wayne, Indiana. The asset sale consists of seven recycling facilities in the Southeast, which are near CMC’s minimill in Cayce, South Carolina. The companies say the transaction is expected to close in the first quarter of 2017 and is subject to customary closing conditions.

On its website, OmniSource currently lists eight locations in South Carolina: Anderson, Clinton, Columbia, Greenville, Greenwood, Liberty and two in Spartanburg. According to Recycling Today’s list of auto shredding plants, one of the Spartanburg locations contains a shredder.

 

“The signing of the asset purchase agreement for the acquisition of these facilities continues CMC’s focus on supporting our mill operations with a reliable, low cost source of raw material,” says Tracy Porter, executive vice president, CMC operations. “These locations will support our Cayce, South Carolina, minimill, and we expect to realize synergies with our existing operations in the region.”

OmniSource has more than 70 recycling yards scattered through the Midwest, Southeast and mid-Atlantic regions of the United States. The company has more than 20 scrap processing locations in the Southeast.

Owen Steel is a structural steel contractor with a fabrication facility located in Columbia.