- New Organisation leadership
- Befesa is working on a Sustainable Global Growth Plan (SGGP)
- SGGP targets around double-digit growth rates for the next five years and investments of around €500mill
- Capital Markets Day planned for this autumn to explain the final growth plan to the company’s shareholders and analysts
The board of directors of Befesa S.A. (“Befesa"), the leading provider of hazardous waste recycling services enabling the circular economy within the steel and aluminium industries, today appointed Javier Molina, currently chief executive officer, as executive chair of Befesa. Asier Zarraonandia, currently vice president of the Steel Dust Recycling Business, will take over as Chief Executive Officer of Befesa. Romeo Kreinberg, currently chair of the board, has been appointed lead independent director and remains chair of the Nomination and Remuneration Committee. The changes will be effective immediately.
The board has also established a Sustainability Committee, which will strengthen Befesa’s commitment to sustainability as a key player in the circular economy and will review progress against Befesa’s sustainability plans on a quarterly basis.
Five-year Sustainable Global Growth Plan (SGGP)
The global steel industry is undergoing major transformation to decarbonise its operations and meet carbon reduction targets for 2030 and 2050. Secondary, Electric Arc Furnace (EAF), steel production consumes around seven times less CO2 per ton versus primary Basic Oxygen Furnace (BOF) production. This is driving large-scale investments in EAF steel production globally, which is expanding the customer and volume base of Befesa’s environmental services. Similarly, the trends in the aluminium industry towards decarbonisation and the rapid increase of the production of electric vehicles, are fuelling increasing demand for secondary aluminium and salt slags recycling in Europe, where Befesa plays a leading role. As a clear contributor to the decarbonisation of the steel and aluminium industries, Befesa’s environmental services to the low-carbon EAF steelmaking process and secondary aluminium producers will enable the transition to a low-carbon economy by expanding Befesa’s recycling capacity.
Against this backdrop, Befesa has announced that it is finalising its new five-year Sustainable Global Growth Plan. As part of this plan, Befesa aims to invest around €500m in growth projects to seize the opportunities that decarbonisation and the growing electric vehicle market are generating in the steel and aluminium industries. This will enable the company to target double-digit growth rates over the next five years.
Befesa plans to hold a Capital Markets Day this autumn to share the final SGGP with its shareholders and analysts.
Javier Molina, executive chair of Befesa, commented: “I am very excited about this new chapter for Befesa. Asier has been managing Befesa’s main business for the past 15 years very successfully and is my natural successor. Despite the current uncertainty in the global economy, we have a solid business plan based on strong fundamentals. We believe that decarbonisation and the rise of electric vehicles will remain medium and long-term growth drivers and we are in a privileged position to be able to seize these opportunities in the markets that we know best. Our new Sustainable Global Growth Plan targets around €500m in investments globally - balanced across new markets such as China and more mature markets such as Europe and North America. This will enable Befesa to continue its accelerated expansion, targeting double-digit growth over the next five years.”
The Company will provide more details on the organisational changes, the new five-year SGGP and the Capital Markets Day in the forthcoming H1/Q2 financial results presentation scheduled for 28 July 2022.
Befesa will host a webcast on its H1/Q2 2022 results at 9:00 am CEST on 28 July 2022. Further details, a replay and other events are available on the Company’s website: www.befesa.com
Financial Calendar 2022
The financial calendar for 2022 is available in the Investor Relations / Investor’s Agenda section of Befesa’s website. For more information, please visit www.befesa.com