South Yorkshire based Universal Recycling was sold to non-ferrous scrap recycler Remet after the former filed for bankruptcy earlier this year.
The sale would bring Universal out of administration according to an Oct 13 news release by Grant Thornton, which was appointed to oversee the bankruptcy process for the company in early October. However, the audit firm did not disclose the transaction amount.
Chris Petts, one of the administrators appointed by Grant Thornton said that the sale has helped Universal save around 40 jobs at the firm’s Doncaster site.
Universal provides ferrous and non-ferrous recycling across the UK and has been operating for around 30 years. Grant Thornton noted that the company had previously reported earnings of £20mn ($26.04mn) before declining raw material prices and the COVID-19 pandemic forced it into bankruptcy.
Shraga Cohen, director at Remet, said that Universal’s workforce and Doncaster-based facilities would help in fortifying Universal’s operations across the UK. For Remet, which is a global non-ferrous scrap recycling and trading firm, the acquisition of Universal would help it foray into the ferrous market, while Universal’s operations will be strengthened through Remet’s extensive non-ferrous trade and recycling network.
(£1=$1.30)