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Steel City Recycling buys Sims operations

Keywords: Tags  Steel City Recycling, Sims, shredder, scrap processing yard, acquisition, MetalX, Jefferson Iron & Metal Brokerage, Intonu

PITTSBURGH — Steel City Recycling LLC, a conglomerate of industry veterans, has acquired Sims Metal Management Ltd.’s shredder plant in Birmingham, Ala., and a scrap processing yard in West Point, Miss., to serve as its flagship for the launch of a regional effort.

The deal had been in the works for some time (, April 8).

Sims Metal has officially exited the Birmingham market but is still active in the Alabama and Mississippi markets, a company spokesman told AMM.

Birmingham-based Steel City Recycling is a joint venture that comprises Danny, Rick and Marty Rifkin of Waterloo, Ind.-based MetalX LLC; George and Paul Dreher of Birmingham-based Jefferson Iron & Metal Brokerage Co.; and John and John W. Marynowski of Atlanta-based Intonu LLC.

The three families also hold a stake in ARC Alabama LLC, a recycling entity that can process 250,000 tons per year of auto shredder residue.

“We’re looking forward to an opportunity to build a solid new business in the South. Despite tough conditions, we think our focus on business fundamentals, customer service, and our employees will result in the growth of a great company,” John Marynowski said.

Chuck Miller, who will serve as the company’s president, most recently worked as a regional manager for Commercial Metals Co.’s recycling division. Miller will initially focus on the processing capabilities that were part of the deal.

A 6,000-horsepower shredder, two Harris shears, an HRB-type nonferrous baler, and a wire-chopping line to recover aluminum and copper from insulated wire and cable were included in the sale.

Industrial customers and consumers will be serviced through a fleet of trucks, trailers and containers. The two facilities will initially employ 60 workers but may have as many as 100 employees within a few years.

“We expect the purchase of these facilities to establish a foundation for the growth of a leading regional scrap company. We’re also very proud to be able to provide new jobs in a still-difficult environment,” Paul Dreher said.

The scales will open July 29. The company received approval from the Birmingham City Council for a scrap metal processors license July 23 and a business privilege license was obtained in West Point July 10.

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