A major UK-based recycler and manufacturer of lower carbon construction steel products has been acquired as part of a wider investment in European metal production.
The Sev.en Global Investments group, based in Czechia, says it has obtained the UK and Northern European operations of Celsa Steel in a move intended to build its regional presence in providing more circular, sustainable metal supplies.
The operations of Celsa Steel UK will now be rebranded as 7 Steel UK, with the company described as the representing country’s largest steel scrap recycler and manufacturer of low carbon supplies of the metal. Sev.en Global Investments will assume an annual production capacity of 1.2 million tonnes of recycled steel.
Celsa Nordic will also be rebranded as 7 Steel Nordic, where it will continue to produce steel from renewable energy generated across Northern Europe.
Among the products provided via the rebranded operation will be bars, sections, mesh and wire products needed for the construction industry, as well as materials to address steel demand in shipbuilding, railway projects and wind energy generation.
One of the drivers stated by the company for investing in the former Celsa Steel operations was the potential to address demand for more sustainable metals made from recycled scrap materials under the 7 Steel brand.
A statement on the deal added: “By recycling steel, the group significantly reduces carbon emissions associated with traditional steel manufacturing processes.”
The combined operations of 7 Steel are also aiming to prioritise circular economy principles that allow for more materials to be reused and repurposed in the production prcoess.
As part of this work, 7 Steel UK says it will serve as a leading national producer of low carbon steel and recycler of scrap supplies of the metal that is supported through an electric arc furnace. This furnace can allow for steel production with an 80% reduction in carbon emissions compared to more traditional production methods.
The group said it operates four scrap yards and 17 fabricator depots across the UK and has supported several major national infrastructure projects that included including Wembley Stadium, London’s Olympic Park, and The Shard.
Carles Rovira, chief executive of 7 Steel UK, said the deal would serve to support UK steel production.
He said: “At 7 Steel UK, we remain deeply committed to serving the UK construction sector with sustainable, high-quality steel. Backed by Sev.en Global Investments, we are poised to accelerate innovation and strengthen our leadership in the circular economy.”
The other operations acquired under the deal will see 7 Steel Nordic producing reinforcing steel supported from other 15 locations across northern Europe.
This includes smelter and rolling mill sites, as well as a scrap receiver and cut and bend businesses.
Through these operations, 7 Steel Nordic is looking to recycle steel scrap to produce new products via its electric arf furnace, while also looking at the potential to make use of hydrogen power for future manufacturing.
