ORT WAYNE, Ind., Oct. 4, 2022 - Steel Dynamics, Inc. (NASDAQ/GS: STLD) today announced the completion of its acquisition of ROCA ACERO, S.A. de C.V. ("ROCA"), as part of its North American raw material procurement strategy. The transaction was funded with available cash.
ROCA, headquartered in Monterrey, Mexico, operates a ferrous and nonferrous scrap metals recycling business comprised of five scrap processing facilities strategically positioned near high-volume industrial scrap sources located throughout Central and Northern Mexico. Roca currently ships approximately 575,000 gross tons of scrap annually and has an estimated annual processing capability of approximately 850,000 gross tons. When combined with the company's existing Mexican metals recycling business, the total estimated annual ferrous and nonferrous scrap processing capability within Mexico will be over 2.5 million gross tons.
"We sincerely welcome the ROCA team into the Steel Dynamics and OmniSource Mexico families to further solidify our growth strategy," said Mark D. Millett, Chairman, President, and Chief Executive Officer. "Combined with our existing metals recycling facilities in Mexico, the addition of ROCA significantly strengthens our ferrous and nonferrous raw material procurement strategy in the region. We believe our Mexican metals recycling facilities will provide a meaningful advantage to our electric-arc-furnace steel operations and planned aluminum flat rolled products operations, while also providing a high-quality, customer-centric option for our customers in Mexico and the United States. We are very excited to welcome and learn from the entire ROCA team."
About Steel Dynamics, Inc.
Steel Dynamics is one of the largest domestic steel producers and metals recyclers in the United States based on estimated annual steelmaking and metals recycling capability, with facilities located throughout the United States, and in Mexico. Steel Dynamics produces steel products, including hot roll, cold roll, and coated sheet steel, structural steel beams and shapes, rail, engineered special-bar-quality steel, cold finished steel, merchant bar products, specialty steel sections and steel joists and deck. In addition, the company produces liquid pig iron and processes and sells ferrous and nonferrous scrap.