Eldridge Backs SMI’s $120M Acquisition of Allmetal Recycling

Event summary

  • Eldridge closed a $120M term loan facility with Scrap Management Industries (SMI) to fund its acquisition of Allmetal Recycling.
  • The deal expands SMI’s footprint to 19 yards and five shredders across Missouri, Kansas, and Oklahoma.
  • Eldridge has originated over $17.5B in asset-based transactions since 2015, operating the largest private equipment finance platform in North America as of 2026.

The big picture

This deal underscores the growing trend of consolidation in the recycling industry, driven by asset-based lenders like Eldridge. The $120M facility highlights the strategic importance of securing capital for regional dominance, particularly in metals recycling. Eldridge’s involvement reflects its broader focus on asset-backed credit strategies across diverse industries.

What we're watching

Market Consolidation
Whether SMI can sustain its dominant market position in the Midwest recycling sector following the acquisition.
Execution Risk
The pace at which SMI integrates Allmetal Recycling’s operations and realizes synergies.
Capital Deployment
How Eldridge’s continued support will shape SMI’s future expansion plans.

Related topics

Acquisition