MetalX acquires Indiana aluminum furnace operator

Fort Wayne, Indiana-based MetalX says it has agreed to acquire the assets and business of SRT Aluminum in Wabash, Indiana. SRT is a secondary aluminum melting operation that converts aluminum scrap into specification remelt scrap ingot (RSI) in sow and ingot form.

According to MetalX, the Wabash facility uses electric induction and reverb furnaces to produce 75,000 tons of sow and ingot annually. The SRT plant is located on a 40-acre site that also includes an aluminum shredder and turnings processing operation.

MetalX says SRT employs 120 people, “all of whom are expected to become MetalX employees post-closing.” The transaction is expected to close at the end of July, subject to due diligence and final approvals.

“Incorporating aluminum melting capabilities has been a key element of our overall strategy for some time,” says Danny Rifkin, CEO of MetalX. “This acquisition gets us immediately into the business in a meaningful way and is a solid platform for growth. Additionally, it secures our own production needs, broadens our service offerings for existing customers and supports our focus on developing new and sustainable methods to create high-quality scrap and secondary products.”

Neal Rifkin, executive vice president of MetalX, comments, “We’ve had an excellent commercial relationship with SRT over the years and look forward to the SRT employees joining the MetalX team. We view aluminum melting as a valuable and complementary addition to our scrap business and see tremendous potential to grow the business, including new projects to increase capacity.”

Bruce Warshauer, managing member of SRT, remarks, “We believe this transaction will be good for our customers, our employees and our ownership group, which has operated and grown SRT Aluminum since acquiring it in 2009.”

MetalX describes itself as an independent scrap metals recycling business engaged in nonferrous scrap processing and trading, consulting and management services for industrial generators and consumers. IT was founded in 2012 by Danny and Neal Rifkin, third- and fourth-generation members of the Rifkin family who previously co-owned and helped manage OmniSource Corp. Following this transaction, MetalX says it will handle more than 175,000 tons of nonferrous scrap annually.