Sims has sold its UK metals (UKM) business to British outfit Unimetals Group for £195 million (EUR 228 million), subject to regulatory approval.

The deal brings to a conclusion the strategic review announced by the Australian giant in November 2023. It followed a 10.8% fall in sales revenue. The transaction is expected to be completed before the end of the first quarter in 2025. UKM has 28 facilities, including three port facilities and four shredders.

Employees

According to Sims’ official announcement in Australia, Unimetals will assume responsibility for employees currently working in its UK metals business.

Sims ceo and md Stephen Mikkelsen says ‘We conducted a comprehensive strategic review of UKM, evaluating all options, including a sale, forming a joint venture, or restructuring the business.

Leverage

‘The board concluded that a sale provided the optimal outcome for Sims and its shareholders. By focusing on high-potential markets such as the United States, Australia, and New Zealand, where our business position and demand for scrap are stronger, we can effectively leverage our strengths and drive sustainable growth.’

Sims has also announced that it had signed a letter of intent to sell its remaining interest in CLP Circular Services Holdings, known as Sims Municipal Recycling of New York, for approximately US$ 32 million (EUR 29 million).