Announcements     |   29 June 2018

Fletcher Building exits Sims Pacific Metals joint venture

Auckland, 29 June 2018

Fletcher Building today announced it had reached agreement to sell its 50 per cent stake in the Sims Pacific Metals joint venture to Sims Metals Management for NZ$42 million.

The purchase price is subject to a working capital adjustment which will be finalised post acquisition. Based on current estimates, total proceeds of the divestment are expected to be between NZ$55m and NZ$60m.

Sims Pacific Metals was established in 1992 as a 50/50 joint venture between Fletcher Steel and Sims Metals Management.

Sims Pacific Metals is New Zealand’s largest metal recycling company, operating a number of sites across the country converting scrap metal products into recyclable materials.

In line with Fletcher Building’s strategy to divest non-core businesses, the decision was made to exit the joint venture and focus the Company’s Steel Division operations on its manufacturing and distribution activities.

For more information, please contact:

Simone Rosentreter
Corporate Affairs Manager
+64 21 137 4137
Christian May
General Manager - Corporate Affairs
+64 21 305 398