Arizona Scrap Metal Recyclers Form Joint Venture

Liberty Iron & Metal, Scholz AG, Southwest Metal Industries and We Buy Scrap LLC have formed a joint venture that will consolidate each of the respective companies’ Phoenix-area operations into a new company they are calling Liberty Southwest Holdings LLC. The joint venture will include five facilities in the Phoenix area to service the combined companies’ expanding customer base.

According to a release, the principals of the four companies will remain active in the newly formed joint venture, and will bring their diverse skills and experience together to operate the newly created scrap metal company.

The release notes that Liberty Southwest Holdings LLC will combine an auto shredding facility with retail scrap locations, wire chopping sites and nonferrous processing and trading. “There is great balance achieved by integrating these companies,” says Henry Fleet, the newly formed company’s co-president. “We have worked closely together for several years, and this is a natural progression for our businesses.”

Liberty Iron entered into a joint venture with Germany-based Scholz A.G. in 2007 to expand its operations in North America. With the Arizona deal, Liberty and Scholz have completed three joint ventures in North America, with other locations in Ohio and Chihuahua, Mexico.

Marc Olgin, another co-president, says the partnership with Southwest Metals and We Buy Scrap is in line with the Liberty iron’s overall business strategy. “The people involved in this deal share an overall philosophy of operating good family run businesses,” Olgin says. “We are excited that we are bringing together a very talented group of people.”

Oliver Scholz, CEO of Scholz, says, “Partnering with We Buy Scrap and Southwest Metals will strengthen our position in the Southwestern United States.”

We Buy Scrap has operated in Arizona since 2004. The company has three retail-based scrap locations in the Phoenix area. “Arizona is a great place to do business, and we take great pride in being involved with the local community,” says Principal Dan Rush.

Southwest Metal Industries, established in 2001 is involved in wire chopping, as well as processing and trading various types of nonferrous metals.