Scrap Consumers
April 9, 2024
Korean firm buys Kataman Metals for $55 million
Written by Stephanie Ritenbaugh
South Korean nonferrous metal smelting company Korea Zinc has acquired St. Louis-based Kataman Metals for $55 million.
Kataman, a global scrap metal trading company, was snapped up through Pedalpoint Holdings, a U.S. subsidiary of Korea Zinc, as part of the company’s goal to beef up its recycling business.
Kataman is now one of two companies owned by Pedalpoint, which also operates electronic waste recycling company Igneo Holdings.
“The acquisition of Kataman brings new capabilities and resources for Korea Zinc’s recycling value chain, an important part of the company’s new growth engine known as ‘Troika Drive,’ and is expected to further accelerate Korea Zinc’s copper businesses,” the company told Recycled Metals Update. “Korea Zinc aims to grow its copper capacity nearly four-fold up to 150ktpa through both pyrometallurgical and hydrometallurgical smelting and therefore, establish a circular ecosystem.”
Korea Zinc plans to complete the expansion of its copper production facilities within the Onsan Smelter by the first half of 2025, which will require an additional supply of approximately 130,000 tons of copper scrap per year.
“Securing a stable supply of raw materials is crucial for this plan to take action,” the company said. “The acquisition of Kataman Metals, which possesses expertise in the recycling market, is highly expected to enable such procurement.”
Kataman Metals globally trades about 300,000 tons of copper, aluminum, iron, and other scrap raw materials annually and reports sales averaging $1.5 billion over the past three years.
