PITTSBURGH — Industrial Services of America Inc. (ISA) has sold its second noncore asset as it works to restore the company to profitability.
The Louisville, Ky.-based metals recycler has sold a one-acre parcel of land for $350,000 to SG&D Ventures LLC, which is owned by shareholders of Algar Inc.
“Algar’s quick purchase of the property further shows my commitment to the long-term success of ISA,” said ISA president Sean Garber, who also is a shareholder of Algar and its chairman and chief executive officer.
The sale comes on the heels of the company’s decision to sell a 4.4-acre parcel to LK Property Investments LLC, owned by Daniel Rifkin, chief executive officer of Waterloo, Ind.-based MetalX LLC for $1 million (amm.com, May 11).
“During a very difficult period in the ferrous metal recycling market, these transactions follow our strategic initiatives to strengthen the balance sheet and improve liquidity,” Garber said.
Proceeds from both sales are being used as working capital and debt reduction.
ISA has taken other steps to combat the downturn, including warm-idling its auto shredding facility to focus on generating alternative grades of scrap (amm.com, May 13).
The company has hinted that its recent decisions have now put it in a position to explore growth. “The ISA team is energized to now focus on the core business and to grow it both organically and through acquisitions,” Garber said.