Radius Recycling announced it had entered into a definitive merger agreement with Toyota Tsusho America, a U.S. subsidiary of Toyota Tsusho. Toyota Tsusho America will buy all the shares of Radius for $30 per share in cash, representing an approximate 115% premium to Radius’ closing share price on March 12, 2025. This means the deal has a total enterprise value of about $1.34 billion.
Upon completion of the deal, Radius will continue to operate from its current headquarters in Portland, Oregon, with its teams, operating facilities, strategy, and brands retained.
The deal brings together two companies dedicated to advancing the circular economy by increasing recycling and reducing waste across the industrial, manufacturing, and retail sectors.
For over a century, Radius has supplied recycled materials and products to customers in North America and around the world. And over this time, the company has expanded its platform to include innovative metals recovery technologies, Third Party Recycling (3PR) services and solutions, Pick-N-Pull branded auto recycling and used parts retail stores, and the Cascade electric arc furnace and rolling mill in Oregon.
TTC, an affiliate of the Toyota Group, is a prominent Japanese trading company based in Nagoya and Tokyo with approximately $65 billion in global revenue and 70,000 employees worldwide. And like Radius, TTC is a proven leader in metals and automotive recycling and has a successful track record of acquisitions with meaningful investments in the growth and employees of those companies. This transaction will provide Radius with the opportunity to benefit from TTC’s financial strength, recycling technology, and experience in providing recycling services to the automotive sector.
The deal is expected to close in the second half of 2025, subject to approval by Radius’ shareholders, regulatory approvals, and other customary closing conditions.
Goldman Sachs is serving as lead financial advisor, J.P. Morgan Securities is serving as co-advisor, and Simpson Thacher & Bartlett is serving as legal counsel to Radius. Mizuho Securities is acting as financial advisor and White & Case is serving as legal counsel to TTC.
KEY QUOTES:
“We are excited to have reached this agreement with TTC, which builds on our longstanding relationship and provides us with increased opportunities for our talented team, broader products and services for our suppliers, customers and communities, and an expanded platform for our more than 100 operating sites while delivering significant immediate value to our shareholders. Like Radius, TTC is a proven leader in metals and automotive recycling services and solutions, and we look forward to enhancing and expanding our offerings as part of their larger organization while continuing to drive our strategy forward. I am grateful to the entire Radius team, whose hard work and determination have created a strong foundation for our Company, enabling us to embark on this next chapter in our history with TTC.”
- Tamara L. Lundgren, Radius’ Chairman and Chief Executive Officer
“We look forward to collaborating with Radius, whose position as one of North America’s leading recycling companies aligns with our efforts to holistically improve recycling across the supply chain. Together, we will strengthen, amplify and grow Radius’ robust networks and integrated operations, better positioning Radius to meet the rapidly increasing demand to improve recycling rates and value recovery and deliver long-term benefits to employees, customers, suppliers, and communities.”
- Ichiro Kashitani, TTC’s President and Chief Executive Officer
