Scrap metal management company Sims Metal Management Ltd
(ASX:SGM) CEO Daniel Dienst says the company is on the look-out for acquisition opportunities suggesting that there could be more consolidation in the scrap metal market.
According the a report by The Dow Jones Newswires Mr Dienst says there will be a culling of weak and inefficient companies from the herd and Sims will be looking for opportunities to assert itself in the marketplace.
Sims Metal Management recently reported a $105.3 million loss for the year to June 30 compared with a profit of $440.1 million the year before.
Mr Dienst says the company remains cautiously optimistic that conditions will continue to improve and that Sims will deliver improved financial results in fiscal 2010.
Looking back over the past five years Sims Metal Management’s best net profit was in 2008.
