Metycle secures $150M credit facility for secondary-metal trades

Metycle buys recycled copper and aluminum, upgrades mixed scrap to industrial specifications and supplies the resulting feedstock to smelters, refiners, foundries and other manufacturers. The Cologne company said on September 23 that it secured a $150 million credit facility from Rivonia Road Capital to finance larger trades.

The asset-backed line covers eligible transactions from the moment Metycle pays a supplier until the buyer settles. This isn’t an equity round for general expansion; it is working capital for a business that must own, inspect and move physical metal before collecting from its customer. The company describes the structure as a repeatable framework, allowing capital to support successive qualifying trades.

Metycle trades as principal, so it takes ownership of the material and remains responsible through delivery and settlement. Its trading operation handles sourcing, contracts, pricing and hedging, while suppliers range from scrap yards and recyclers to industrial scrap generators. Customers can buy established scrap grades or specified alloy fractions in spot transactions and ongoing supply agreements.

Processing is where the company tries to turn irregular scrap into a more standardized product. At its first SmartSorting Hub in Maasmechelen, Belgium, mechanical separation, X-ray and optical sensors, laser spectroscopy and sensor-based classification split mixed nonferrous material into streams such as alloy-sorted aluminum or color-sorted copper. Metycle said commercial operations were scheduled to begin in early October at 20,000 tonnes a year, with the line designed for as much as 60,000 tonnes across three shifts.

TrustTrack adds an evidence layer to the physical work. It connects origin, weight, composition, processing and delivery records to each batch and trade, giving buyers a way to compare material against specifications and financing partners transaction-specific documentation. That combination of principal trading, processing and batch-level records is Metycle’s practical answer to a market where inconsistent quality and paperwork can make recycled metal harder to finance.

Metycle says it traded more than $120 million of secondary metals over the past 12 months, 150% more than in the prior period. The new facility’s stated size is therefore larger than that recent annual trade value, though it is a reusable credit line rather than one-time revenue or equity. The company says the borrowing is dedicated exclusively to trading operations.