Steel Dynamics Inc. entered into a definitive agreement to acquire the equity interest of Roca Acero S.A. de C.V. (Roca). Headquartered in Monterrey, Mexico, Roca operates a ferrous and nonferrous scrap metals recycling business. The company’s primary operations are comprised of four scrap processing facilities strategically positioned near high-volume industrial scrap sources located throughout central and northern Mexico. These combined facilities currently ship approximately 575,000 gross tons of scrap annually and have an estimated annual processing capability of approximately 850,000 gross tons.
“Combined with our existing North American metals recycling facilities, the addition of Roca significantly strengthens our raw-material procurement strategy in the region,” said Mark D. Millett, Steel Dynamics’ chairman, president and CEO. “After closing the Roca transaction and fully integrating our Mexican metals recycling operations, we believe our Mexican scrap facilities will provide an even more meaningful competitive advantage to our U.S. electric-arc furnace (EAF) steel operations.”