Acquisition will allow The Peregrine Co. to vertically integrate into non-prime steel products.
The scrap metal company The Peregrine Co.,
based in Louisville, Ky., has acquired the assets of Sparta Steel. Sparta Steel, based in Sparta, Tenn., is a non-prime sheet steel company.
Stuart Ray, founder and president of The Peregrine Co., says, “Sparta Steel has an outstanding reputation as a sheet steel provider. Peregrine’s acquisition of Sparta Steel is a logical vertical integration into non-prime steel product. I’m especially excited that Carl Bullis will continue on to head the operations of Sparta Steel. Carl is an excellent leader and a second generation steel man like myself. He will continue on in his role as chief operating officer and vice president of Sparta.”
Sparta Steel serves various industries, including the recreational vehicles, appliances, shelving and various consumer products.
“We have had an excellent relationship with The Peregrine Co. for nearly 10 years and this will be an outstanding combination for our customers and employees,” Bullis says. “Stuart and I look forward to building on the great reputation and relationship Sparta Steel has with its customers and suppliers.”
Sparta has roughly 50,000 tons of capacity per year, and has significant available capacity. “We expect to grow our footprint and I could foresee additional operations in the future,” Ray says.
Ray adds that the company currently brokers some steel products and now has an outlet, which is why the company refers to the acquisition as a vertical integration.
Peregrine, founded in 1994, is an industrial scrap metal service provider that handles both ferrous and nonferrous metals. Sparta processes steel into exact sheet steel tolerances and has customers throughout the Midwest, South Central and Southeast.