| STAR acquired the BUS Group of
companies in January 2005 from AGOR AG, a listed German financial holding company.
BUS is the European market leader in recycling
waste from steel and stainless steel production - recovering metals
such as zinc, nickel and chromium. It operates five plants located
in Germany (Duisburg and Freiberg), France (Gravelines and Lens)
and Sweden (Landskrona). The company has approximately 330 employees.
BUS provides recycling services to all the major steel and stainless
steel companies.
BUS operates in a market with attractive fundamentals.
Demand for its services is underpinned by stringent European environmental
legislation which is diverting an increasing proportion of waste from landfill
to recycling processes. BUS is a key link in the recycling chain for the metals industry.
Why did BUS fit STAR’s investment strategy?
- BUS provides key services to major steel companies this directly
reflects STAR's strategy of providing outsourced solutions for
companies' non-core and capital intensive activities.
- It holds dominant European market positions in both steel dust and stainless steel dust recycling.
- Economies of scale and technological leadership create substantial
entry barriers for new entrants.
- STAR backed the existing BUS management team who had a proven
track record in growing value in the business
Following strong growth in sales and profit under
STAR ownership, BUS was sold to the Befesa Group (an international
environmental services company with complementary recycling operations
in Spain) in December 2006, for an enterprise value of €330
million.
http://www.bus-steel.com
 
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