Sibelco to enter North American glass recycling industry with acquisition of Strategic Materials, Inc.
April 23 2024 - 2:10PM
Business Wire
Sibelco, a global leader in material solutions and the
European leader in glass recycling, today announced the signing of
a definitive agreement to acquire Strategic Materials, Inc. (SMI),
a leading glass recycler and producer of glass cullet in North
America.
SMI operates a multinational network across the United States,
Canada and Mexico, where the group processes a mixture of glass
input materials to produce glass cullet that is sold to various
manufacturing segments, including glass containers, fiberglass
insulation, highway bead, air blast abrasives and flat glass.
This entry into North American glass recycling represents an
opportunity for Sibelco to:
- grow its circular business and expand its glass recycling
leadership beyond Europe; and
- strengthen and grow its operating footprint in North America
beyond High-Purity Quartz (HPQ) to develop a resilient, key mineral
platform at scale.
With 42 plants and office locations and approximately 2 (two)
million metric tonnes processed annually, SMI is a major glass
recycler with a presence across North America.
Subject to receipt of U.S. regulatory clearances and the
satisfaction of other customary closing conditions, the transaction
is expected to close towards the end of Q2 2024 or early Q3
2024.
“We are excited that our offer to acquire SMI has been accepted.
This transaction, once completed, will significantly strengthen and
expand our operating footprint in North America with a resilient,
key mineral platform at scale. The inclusion of a major glass
recycler in North America into the Sibelco group will be an
important step in the development of our activities in this segment
outside of Europe, positioning Sibelco as a glass recycling leader
in both Europe and North America. We see significant opportunity to
develop the SMI business further, which should provide our
customers with better access to quality products over time," said
Hilmar Rode, CEO of Sibelco.
Commenting on the acquisition, Chris Dods, CEO of SMI
said, “SMI could not have found a better match. Bringing together
two long-standing glass recycling leaders from two different
continents will elevate SMI’s operational capabilities and product
offerings, ensuring continued longevity for our people, partners,
and planet.”
About Sibelco
Sibelco is a global leader in material solutions. Sibelco mines,
processes and sells specialty industrial minerals – particularly
silica, clays, feldspathics and olivine – and is a leader in glass
recycling. Sibelco’s solutions support the progress of modern life
and serve industries as diverse as glass, ceramics, construction,
coatings, polymers and water purification. The Sibelco Group has
production facilities in more than 30 countries and a team of some
5,000 people.
Learn more at www.sibelco.com
About SMI
With a 125-year history, SMI is one of North America’s most
comprehensive glass recyclers, with 42 locations in the United
States, Canada, and Mexico. The company continues to be focused on
passionate advocacy, operational excellence, and collaborative
partnership. SMI is a trusted partner to cleaner, more efficient
glass production, providing customers and suppliers with economical
and environmentally viable recycled products and solutions.
Learn more at www.smi.com
Advisors
Sibelco is being represented by Lazard as lead financial advisor
and by Latham & Watkins as lead legal counsel on this
transaction, whereas SMI is being represented by Ankura Consulting
Group as lead financial advisor and by Arnold & Porter as lead
legal counsel.
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