Metso Outotec to Divest Waste Recycling Business

SEATTLE (Scrap Monster): Helsinki, Finland-headquartered Metso Outotec has reached an agreement with investment company Ahlstrom Capital to divest its waste recycling business. The value of the deal was not disclosed. The transaction is expected to come to a close during the last quarter of the current year.

Earlier in October last year, Metso Outotec had announced its decision to divest its recycling business comprising waste recycling and metal recycling. The company is already in progress with divesting its metal recycling business. The divestment of its waste recycling business, announced now, is expected to have minor positive impact on the company’s financial results.

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The acquired business will operate as a standalone business under the M&J brand and will have its headquarters in Horsens, Denmark. All of the nearly 120 Metso employees will be transferred to the new company, as part of the transaction. It must be noted that the waste recycling business unit had recorded net sales of approximately 50 million euros during the previous year.

Uffe Hansen, Head of Waste Recycling Business, Metso Outotec noted that Ahlstrom’s strategic thinking and ambitions are well aligned with the company. Under new ownership, the business will be able to exploit further growth opportunities, he added.