The Sol Alman Co., a Little Rock scrap metal recycling company that has been in the same family since its founding more than 100 years ago, is getting a new owner.
Metal Recycling Corp., a second-generation scrap metal trading and recycling company also based in the state's capital, said Thursday it has agreed to purchase the assets of Sol Alman effective one week from today for an undisclosed price.
"It's a fine company run by a great family for years," said Steve Ronnel, co-owner of Metal Recycling. "We are truly honored to be in a position to carry on and grow this tradition in downtown Little Rock."
Sol Alman is the oldest scrap metal recycling business in Arkansas that is still owned and operated by the same family. It was founded in 1905 by Charles Alman, grandfather of the current owners, Charles Alman and Larry Alman.
The father of the current owners, Sol Alman, a professional jazz musician, returned to Arkansas in 1939 to help out his ailing father with the business and took it over in 1943.
Sol Alman moved the business from 10th and Arch streets to a larger 2.3-acre site at 1300 E. Ninth St., where it has remained a fixture for 72 years. Sol Alman retired in 1982.
Metal Recycling will rename the Ninth Street facility Alman Recycling Co. and retain its 20 employees, the company said in a news release.
Charles and Larry Alman will continue their executive management roles at Alman Recycling, with Charles Alman as chairman and Larry Alman as president.
Sol Alman will become the third full-service scrap metal recycling facility in Metal Recycling's portfolio. It also operates Metro Scrap Metals in North Little Rock and Thompson Recycling in Searcy. Metal Recycling, which was founded by Lee Ronnel in 1979, acquired Thompson Recycling in 1991, said co-owner Steve Ronnel.
The company's marketing arm and headquarters is in Little Rock. With the Sol Alman acquisition, Metal Recycling will have 90 employees, Steve Ronnel said.
Little Rock Mayor Frank Scott Jr. welcomed the transaction, especially amid economic uncertainty driven by the coronavirus pandemic.
"The City of Little Rock is pleased that Sol Alman Company is transferring ownership to a locally-owned company," Scott said in the release. "Metal Recycling Corporation is one of Little Rock's finest and most committed corporate citizens. They care for their people and give back generously to our community.
"This economic news amid a global pandemic speaks to a bright and innovative future when combining the best of two historic Little Rock companies."
The Alman brothers praised Metal Recycling as the perfect steward for its unique venture that welcomed everyone from people who collected cans on the side of the road to major corporations unloading their scrap steel.
"Larry and I looked for a firm that has an impeccable reputation for integrity, shares our belief in civic involvement and financial stability, and would offer opportunities for our loyal customers and employees," said Charles Alman. "We found just that with Metal Recycling Corporation."
"We have great confidence in the Ronnel family and their excellent team at Metal Recycling Corporation," added Larry Alman. "Combining the Ronnel and Alman families will bring 200 years of recycling management experience to the table for the benefit of our customers."
The co-owners of Metal Recycling said the acquisition is partly a strategic move as the company aims to solidify its place in the U.S. scrap metal recycling market, which has a total economic impact of more than $55 billion, according to the Institute of Scrap Recycling Industries Inc.
The scrap metals purchased and processed at these recycling plants are supplied as raw materials to be melted and formed into new metals at mills and foundries in Arkansas, the United States and around the world, according to Metal Recycling.
The company is located in one of the second-largest steel-producing states in the nation, thanks to the concentration of steel mills in Mississippi County that include Nucor Steel and Big River Steel mills that directly employ 3,000 workers, with another 1,200 workers in businesses supporting the steel industry.
Still other steel mills include Arkansas Steel Associates in Newport LLC, a leading supplier of tie plates for the railroad industry, and Gerdau Macsteel Inc., a Fort Smith mill that produces steel for the automotive industry.
Metal Recycling processes the scrap metal into a form that serves as raw material that can be melted at the steel mills and reformed into other products.
"Our father and company founder, Lee Ronnel, has always believed in "smart growth" for our family business and this opportunity is a great fit for our company and everyone involved," Steve Ronnel said.
Another Metal Recycling co-owner, Mike Ronnel, said it helped that Sol Alman was a trustworthy brand.
"We look forward to joining forces with the Alman brothers, both of whom are highly respected in our industry and community, and we welcome the Alman employees and customers into the Metal Recycling Corporation family," he said.