Under the agreement announced today, TAI will acquire all outstanding shares of Radius at a price of
30 per share in cash, representing a premium of approximately 115% to the company's closing stock price on March 12, 2025.
Radius Recycling will continue to operate from its Portland headquarters, maintaining its teams, operational capabilities, strategy and brands.
The merger brings together two companies with a shared commitment to improving the circular economy by increasing recycling and reducing waste in the industrial, manufacturing and retail sectors. Radius Recycling has been a key supplier of recycled materials and innovative recycling technologies for more than a century, while Toyota Tsusho, part of the Toyota Group, is a global trading company with a strong presence in the metals and automotive recycling industries.
Radius CEO Tamara L. Lundgren expressed enthusiasm for the merger, citing the growth opportunity and immediate benefits for shareholders. Ichiro Kashitani, President and CEO of Toyota Tsusho, emphasized the alignment of both companies’ goals in improving recycling performance and delivering long-term benefits to stakeholders.
The deal is intended to provide Radius with expanded financial resources to invest in strategic initiatives such as its metals processing platform, automotive recycling business and Cascade electric arc furnace and rolling mill. With annual revenue of $2.7 billion and negative free cash flow of $117.5 million, this financial support comes at a critical time.
Source: Reuters
