Derichebourg finalizes Ecore acquisition

France-based scrap processing and trading firm Derichebourg Environnement says it has finalized and signed a contract to acquire Luxembourg-based Groupe Ecore Holding.

The acquisition agreement was announced in late December 2020 and “will be effective after obtaining authorization from the competent merger control authorities,” says Derichebourg.

On its website, Ecore Group says it operates 78 sites in France, Belgium, Luxembourg, Switzerland, Hungary and Romania, handling a combined 3.3 million metric tons of recycled and recovered materials in 2019. Some of its locations operate under the GDE Recyclage name.

Ecore says it operates six shredders, “including three among the most powerful in continental Europe.” The company also exports some 1.3 million tons annually of ferrous scrap, some of shipped via its four dockside facilities in Belgium and France.

Pending regulatory approval, those assets will be added to Derichebourg’s portfolio of some 300 locations found in 14 different countries. The company claims 1.6 billion euros ($1.93 billion) in annual sales in its Environment division and another 836 million euros ($1 billion) in its Multiservices business unit. The Derichebourg group was created in 2007 from the merger of the former CFF Recycling company and the Penauille Polyservices group, both chaired at the time by Daniel Derichebourg.

At its general meeting this February, Derichebourg reported earnings before interest, taxes, depreciation and amortization (EBITDA) of 62 million euros ($75 million) in its fiscal year first quarter. The company said its revenue figure rose 22 percent compared with the previous fiscal year’s first quarter.

The company added, “The long-term fundamentals of [our] businesses remain buoyant. Raw materials from recycling help fight against global warming, compared to the primary production of metal, [and] companies continue to outsource services to focus on their core business.”