Romco Raises $6.2M in Series A Funding Round, Hits $180M Valuation

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LONDON–(BUSINESS WIRE)–Romco, an international metals recycler producing clean and sustainable critical metals that decarbonize the global supply chain, announced an investment of $6.2 million to expand operations and immediately drive revenue growth.

To build on significant growth in 2021, with quarterly revenue of $9.1 million expected to more than double to $20-25 million per quarter for 2022, and recycling levels up 220 % compared to the previous year, Romco sold 3.39% of the capital, valuing the company at 180 million dollars. The fundraising reflects Romco’s strong track record, outlook, profitability and investor confidence in the company’s medium to long-term growth strategy.

The company has a very strong investment case in sustainable commodities as it seeks to decarbonize the global metals supply chain. By 2025, Romco aims to produce 100,000 metric tons per year of metal through the operation of 7 plants. Romco produces metals for blue-chip automotive and industrial OEMs and its recycling volume is expected to reduce CO2 emissions from the metal production industry by 338,000 t/CO2 per year, equivalent to around 354 flights. world by Boeing 747, saving 1.2 million MWh per year of electricity, which is equivalent to powering 315,000 UK homes per year.

The company also announces that it has listed on private equity trading platform Asset Match, to provide more investors with secondary market access to its exciting investment case.

Romco Founder and CEO Raymond Onovwigun said:

“At Romco, we are transforming metal production to help solve the climate crisis. With demand for aluminum expected to grow by 80% by 2050, and current demand producing more CO2 than the entire aerospace industry’s CO2 emissions, its production needs to be decarbonized as a matter of urgency. This latest investment in our business will energize the growing recycling sector in Africa and provide a scalable model for other emerging markets.

“We have experienced enormous growth over the past two years, which clearly gives confidence to our investors and positions Romco as an innovative company. The additional capital will upgrade existing facilities and increase the capacity of raw materials to be processed into quality low-carbon materials.

Romco currently operates metal recycling sites throughout Sub-Saharan Africa. The Company plans to rapidly expand its facilities to increase the rate of metal recycling in Africa, where only 1% of the world’s recycled aluminum is processed. Romco is perfectly positioned to capitalize on the growth of this market, aiming to increase Africa’s recycling rate to 5% in the next five years by opening five additional factories to produce secondary materials from all coasts of the African continent.

Romco has built its business by leveraging technical know-how and investing in local supply chain partners who can grow together as the business continues to evolve. This provides a significant first-mover advantage through a small business buying program that creates sustainable and successful local businesses.

More than 3% of the world’s energy is used to produce aluminum, with some estimates putting cradle-to-gate CO2 emissions at 20 metric tons for every ton of aluminum produced. Romco’s recycling facilities produce aluminum using 95% less electricity and water.

-ENDS-

For more information, please visit: https://romcométals.com/.

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