Horsehead Corporation
| Company type | Public (formerly) |
|---|---|
| Industry | Zinc manufacturing, mining, recycling |
| Predecessor | The New Jersey Zinc Company |
| Founded | 1848 |
| Defunct | 2016 (reorganized as American Zinc Recycling) |
| Fate | Reorganized after bankruptcy as American Zinc Recycling |
| Headquarters | Pittsburgh , United States |
Area served | United States, Canada |
| Products | Zinc and associated products |
Horsehead Holding Corporation, originally known as The New Jersey Zinc Company, was a prominent American manufacturer specializing in zinc and associated products, with its headquarters located in Pittsburgh. Its business activities currently continue under the name American Zinc Recycling.
Throughout much of its existence, The New Jersey Zinc Company held the position as the foremost zinc producer in the United States. The firm experienced substantial expansion from 1897 until 1966, at which point it merged with Gulf and Western Industries. It functioned as a subsidiary of Gulf and Western until 1981, when a management-led buyout established Horsehead Industries. In 1987, Horsehead Industries combined with St. Joe Minerals to form Zinc Corporation of America. Confronted by unprecedented lows in zinc market prices during the early 2000s, the company filed for Chapter 11 bankruptcy protection in 2002. The following year, Sun Capital Partners purchased its assets for $73.6 million and rebranded the company as Horsehead Corporation, focusing on zinc production derived from recycling and steelmaking byproducts.
Horsehead once again sought Chapter 11 bankruptcy relief on February 2, 2016.
History
The enterprise’s roots extend back to northwestern New Jersey in 1848, originating from two separate companies engaged in mining zinc and iron at Franklin and Sterling Hill in Sussex County. These entities united in 1852 under the name New Jersey Zinc Corporation, adopting the horsehead emblem, a symbol representing New Jersey.
After extensive legal disputes concerning mining rights, the company consolidated its assets by merging with Franklin Iron Company in 1880 and incorporating other operations within the Franklin District by 1897 under the leadership of Stephen S. Palmer and August Heckscher. The Palmer family maintained control over the company until 1943 when inheritance tax obligations compelled them to divest their ownership.
In 1966, New Jersey Zinc became part of the diversified conglomerate Gulf and Western Industries. During the 1970s, environmental regulations heightened liabilities related to historical pollution. In 1981, Gulf and Western executives orchestrated a buyout that created Horsehead Industries, which inherited these environmental responsibilities. The company faced financial difficulties amid declining zinc prices, culminating in its bankruptcy filing in 2002.
At its height, the firm managed mining and smelting operations throughout the United States and Canada; locations such as De Pue, Illinois; Palmerton, Pennsylvania; and Eagle Mine, Colorado have since been designated EPA Superfund sites.
In July 2010, an explosion at a facility in Monaca, Pennsylvania resulted in the deaths of two employees.
The 1954 motion picture Salt of the Earth portrayed a strike that took place in 1951 against the company’s Empire Zinc mine.
Following the bankruptcy declaration in 2016, accusations emerged regarding creditor conduct during restructuring efforts. These allegations were examined by a court-appointed equity committee. Prominent investors among shareholders included individuals such as Mohnish Pabrai, Matthew Peterson, Phil Town, and Guy Spier.
Later that year, Horsehead reemerged from bankruptcy as American Zinc Recycling under ownership of Greywolf Capital Management. By 2018, it operated six facilities: a solvent-extraction and electrowinning plant located in Mooresboro, North Carolina; a zinc powder manufacturing plant in Palmerton, Pennsylvania; along with recycling centers situated in Barnwell, South Carolina; Calumet (Chicago), Illinois; Rockwood, Tennessee; and Palmerton.
In April 2019, a fire broke out at the Mooresboro zinc facility causing local evacuations; fortunately, no workers sustained injuries.
See also
External links
- Horsehead Corporation (archived version)
- Articles with short description
- American enterprises founded in 1848
- Zinc industry companies
- Mining corporations in the United States
- Companies headquartered in Pittsburgh
- Non-renewable resource firms established in 1848
- 1848 establishments in New Jersey
- Former Nasdaq-listed companies
- Companies that underwent Chapter 11 bankruptcy in 2002
- Companies that underwent Chapter 11 bankruptcy in 2016
- Metal industry companies in the United States
- Initial public offerings in 2007
- Gulf and Western Industries
- Mergers and acquisitions in 1966
- Mergers and acquisitions in 1981
- Mergers and acquisitions in 1987
- Mergers and acquisitions in 2003
- American companies established in 1848
- 5
- Companies of the United States by year of establishment