Synopsis

Employee-owned Owl’s Head Alloys has been recycling scrap aluminum for customers along Kentucky’s I-65 corridor since 2002. Working under strict environmental standards, the company melts scrap aluminum and returns it to customers in sow, ingot, or molten form to be used repeatedly in the manufacturing process of everything from soda cans to the automotive and aerospace industries. In 2023, Owl’s Head Alloys was awarded a long-term contract with Aluminum Dynamics, LLC, which allowed it to expand its operations into Mississippi.

Read how Truist’s knowledge of the aluminum recycling industry and understanding of employee-owned businesses helped Owl’s Head take the next step toward a sustainable future. 

Challenges

  • Owl’s Head Alloys needed funding to build a second location, in Mississippi, as part of an agreement with Aluminum Dynamics, LLC.
  • They wanted to structure the financing to accommodate future growth opportunities and were looking to increase access to daily working capital.
  • As an employee-owned company, Owl’s Head needed a bank that fully understood the unique challenges they face in raising capital.

Solutions

  • In April 2024, Truist served as left lead arranger on a $57 million senior credit facility to fund the expansion and refinance existing debt.
  • Truist brought together four banks for the transaction, which positioned Owl’s Head to easily secure additional funding when needed.
  • Truist provided new purchasing cards with an increased limit along with full digital treasury services.

About Owl’s Head Alloys

Headquarters: Bowling Green, Kentucky

Founded: 2002

Industry: Aluminum and recycling

Employees: 185

Annual revenue: $80 million+

Website: ohaky.com

Relationship: Truist client since 2024

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Audio Description: Gentle music plays.

Visual Description: Truist logo appears on screen in front of a purple background. Next, there is an overhead view of the Owl’s Head Alloys facility and a close-up of their logo on the side of a water tank. Then, Travis Jones is seated in an office speaking to the camera.

On-Screen Text: Travis Jones, Chief Financial Officer, Owl’s Head Alloys.

Travis Jones: In one of our first meetings, I remember sitting around the table with the Truist team. They asked us two questions. They said, "Do you want a bank that's willing to fund this deal, or do you want a bank that's willing to grow with you in the future?" We said, "We want a partnership." And Truist was able to offer us that.

Visual Description: Blocks of compacted aluminum scrap metal are stacked on top of each other.

On-Screen Text: The pursuit of sustainable growth. A Truist client success story.

Visual Description: A montage showing the aluminum recycling process plays, including shots of the Owl’s Head Alloys facility, a wheel loader, aluminum melting, and compacted scrap metal.

Travis Jones: What's cool about Owl's Head Alloys is that we're in the secondary aluminum processing industry, and we process up to half a billion pounds of aluminum each year that would otherwise end up in landfills across the United States.

Visual Description: Aluminum ingots embedded with the Owl’s Head logo are stacked on top of each other. Next, Travis Jones is seated in an office speaking to the camera.

Travis Jones: Sustainability is at the forefront of what we do each and every day …

Visual Description: Travis walks past the blocks of compacted aluminum scrap metal, which are stacked four to six blocks high, and toward the processing facility.

Travis Jones: … whether that's through recycling, whether that's through reduction of CO2 emissions for the aluminum industry …

Visual Description: Outside view of the Owl’s Head processing facility, where wheel loaders and trucks are parked in the accompanying lot. Next, a wheel loader carries several blocks of compacted scrap metal through the lot. Then, Travis greets another Owl’s Head employee who is working in the lot.

Travis Jones: … or whether that is investing in a sustainable future for our employees.

Visual Description: Travis talks and laughs with an Owl’s Head employee. Then, a different employee drives a wheel loader through the lot.

Travis Jones: So, one of the unique things about Owl's Head is that we're 100% employee-owned, which means we have an employee stock ownership plan.

Visual Description: Two Owl’s Head employees are shoveling melted aluminum into the ingot casts. Then, a montage of the aluminum recycling process plays, including a shot of an employee driving a loader, two employees working with processing machinery, and a view of the outside of the facility where a wheel loader is carrying blocks of compacted scrap metal through the lot.

Travis Jones: It's really cool to be able to work with people who know that they are going to have a sustainable future when they retire.

Visual Description: Travis Jones is seated in an office speaking to the camera.

Travis Jones: So, Owl's Head was presented with a fantastic opportunity to grow.

Visual Description: There are dozens of aluminum ingots stacked on top of each other in a dirt field outside the facility. Next, there is an overhead shot of another dirt field outside of the facility filled with compacted scrap metal blocks.

Travis Jones: There's a new aluminum rolling mill that's being built in Columbus, Mississippi, and we're actually awarded that bid to partner with that company.

Visual Description: Travis is seated in an office speaking to the camera.

Travis Jones: One of the objectives that we had was to secure credit facilities to enable us to do that.

Visual Description: Travis and Craig Carlson, his Truist relationship manager, are walking through the Owl’s Head processing facility together.

On-Screen Text: Craig Carlson, Truist Relationship Manager.

Travis Jones: Our relationship had been brewing for several years with Truist and Owl's Head.

Visual Description: Travis walks Craig through the facility, showing him each step of the aluminum recycling process.

Travis Jones: We were able to work with Truist, their industry expertise within the aluminum industry, but also their knowledge of 100% employee-owned companies.

Visual Description: A montage of the aluminum ingot-making process plays, showing clips of the aluminum being pressed into the ingot molds and stacked on top of each other.

Travis Jones: They were able to help us secure those credit facilities, as well as offer us advice that we were not able to get from other banks.

Visual Description: Travis is seated in an office speaking to the camera.

Travis Jones: It looks like we're in the manufacturing industry, but we're really in the customer service industry. We're a customer service company through and through. One of the great things that we liked about Truist is that we felt like we shared that same value.

Visual Description: Travis and Craig walk through the Owl’s Head Alloys facility. Next, there is an overhead shot of the compacted aluminum scrap blocks stacked on top of each other outside the facility.

Travis Jones: They're focused on customer service for us every single day. They're just a phone call away if there's anything that we need, and they're there to help us grow.

Visual Description: An employee driving a wheel loader brings scrap aluminum across the facility’s lot and inside to be melted down. Next, Craig and Travis are talking to each other in front of the machine melting aluminum.

Travis Jones: As we worked through the deal with Truist, we really got a sense that they were going to be there with us to the end.

Visual Description: Travis is seated in an office speaking to the camera.

Travis Jones: We felt like, with Truist, the sky is the limit.

Audio Description: Bright music plays.

Visual Description: Truist Commercial title and logo appear on screen in front of a purple background.

On-Screen Text: Truist Commercial. Truist.com/OwlsHeadAlloys. Copyright 2025 Truist Bank, Member FDIC. Truist Financial Corporation. Truist, the Truist logo and Truist Purple are service marks of Truist Financial Corporation. All rights reserved.

Taking a holistic view of sustainable growth

Sustainability means meeting today’s needs without compromising the ability of future generations to meet their needs. It’s an apt description of how Owl’s Head Alloys approaches its operations—with a focus on the future of both the environment and its employees.

“We process half a billion pounds of scrap aluminum each year that would otherwise go into landfills,” says Travis Jones, chief financial officer at Owl’s Head Alloys. “On top of that, the secondary aluminum processing industry uses about 95% less energy to recycle aluminum than it takes to produce primary aluminum.”

Owl’s Head continually monitors and upgrades its equipment to ensure it meets—and exceeds—EPA standards for capturing emissions. The company holds three International Organization for Standardization (ISO) certifications for Quality, Occupational Health and Safety, and Environmental.

But Owl’s Head’s view of sustainability doesn’t end there. In 2019, the company became 100% employee owned. Its employee stock ownership plan (ESOP) lets teammates earn shares of stock in the business each year, building savings that will help sustain them long after they’ve left the company.

“We’re giving our people a unique opportunity to build wealth,” says Travis. “We want them to not only have a job but to create a nest egg they can tap into in the future.”

Earning the opportunity to expand through a strong reputation

Since its founding in 2002, Owl’s Head Alloys has increased its production capacity by installing additional furnaces. These critical pieces are the cornerstone of the production process, and each one marks a significant capital investment. With five in operation as of 2024, Owl’s Head serves a long roster of customers that includes aluminum brokers and manufacturers. Many of them are located near Kentucky’s “aluminum corridor” along I-65 and send finished products from Owl’s Head to nearby Logan Aluminum, which produces over 45% of North America’s aluminum cans. Disclosure 1

Owl’s Head Alloys’ proximity to its customers enables easy transport of its product, and it’s just one factor that’s helped the company build a solid reputation in the recycling industry. The company is also known for its integrity and best-in-class customer service.

“We’re a 100% toll operation,” says Travis. “That means we never take ownership of the material, so we’re not buying and trading and essentially competing against our customers.”

Speed is key to us keeping our competitive edge. And it makes everything go faster when you have a financial partner that understands our business and our industry.
—Michael Boyle, President, Owl’s Head Alloys

Travis and Owl’s Head president, Michael Boyle, agree that reputation was a leading factor in the company gaining an opportunity to expand in 2023. Aluminum Dynamics, a new facility for rolling aluminum into thin sheets, was under construction in Columbus, Mississippi, and needed a partner to process its scrap aluminum. Owl’s Head was one of four companies asked to participate in the bid.

“Within 90 days of making the first formal presentation, we were awarded the contract,” says Michael.

He and Travis knew that providing Aluminum Dynamics with the level of service their current customers enjoyed would be challenging from Bowling Green. That meant they needed to make a substantial capital investment to build a second site, in Mississippi. 

Smoothing the way to financing through familiarity and understanding

When Travis and Michael began seeking funding for Owl’s Head Alloys’ expansion, they contacted Truist relationship manager Craig Carlson. They first worked together in 2022 on a potential joint venture. That project didn’t materialize, but “the relationship blossomed,” says Travis.

“The speed in which Craig and the Truist team were able to do what we needed during that initial project never left our minds,” adds Michael. “We’re a nimble organization, and we liked the way Truist was able to keep up with us.”

Travis credits Truist’s deep understanding of Owl’s Head Alloys’ business and the aluminum recycling industry with reaching a financial solution that met the company’s unique needs. 

Truist had a solid understanding of the challenges ESOPs face. They gave us financing options that other banks couldn’t.
—Travis Jones, Chief Financial Officer, Owl’s Head Alloys

“Not all banks understand ESOPs,” says Travis. “Truist had a solid understanding of the challenges ESOPs face in growing the company while being heavily leveraged from the original ESOP transaction. Truist gave us financing options that other banks couldn’t.”

Truist helped Owl’s Head secure a $57 million senior credit facility, which funded 100% of the new construction and several capital expenditures at the plant in Bowling Green. Craig says the funding structure will allow Owl’s Head to scale up easily.

“The credit facility is such that we could have done a single bank deal,” says Craig. “But they said, ‘We want to grow. We want to put this thing on a rocket ship.’”

For that reason, Craig recommended syndicated financing, bringing in a few different banks. “That way, they have the right team on the field. When they’re ready to grow, all these banks will know their business and will have kept up with their financials,” he says. “Then, we’ll be able to finance whatever they have planned next.”

The importance of speed and industry expertise

  • Michael says he appreciates how quickly the Truist team secured the financing while transitioning Owl’s Head Alloys’ digital treasury services and purchasing card program to Truist. That speed allowed Owl’s Head to begin construction on the Mississippi expansion sooner than expected.
  • “Speed is key to keeping our competitive edge,” says Michael. “And it makes everything go faster when you have a financial partner that understands our business and our industry.”
  • As Owl’s Head Alloys’ relationship manager, Craig brings in experts from across the bank to advise his clients. It’s a vital part of Truist Business Lifecycle Advisory, which takes a comprehensive approach to a client’s needs. In Owl’s Head Alloys’ case, Craig worked closely with Waste and Environmental Services industry manager Prachi Wagner. Her insights into the aluminum recycling industry helped communicate a holistic view of Owl’s Head Alloys’ story to Truist’s credit team.

When lenders can speak the language of their clients, it fosters stronger relationships.
—Prachi Wagner, Waste and Environmental Industry Manager, Truist

“The numbers have to make sense, but it’s just as important to look at the qualitative factors surrounding a client’s situation,” says Prachi. “You have to take into account what’s happening in the industry now because what worked five years ago may not make sense today. You also have to look forward.”

Prachi also emphasizes the importance of industry expertise beyond project financing.

“When lenders can speak the language of their clients, it fosters stronger relationships,” she says. “By understanding the unique challenges and opportunities within the industry, we can provide tailored solutions, accurately assess risks, and offer strategic advice that aligns with the company’s operational realities.”

Partnering for a sustainable future

With the Mississippi facility underway, the Owl’s Head team turned its attention to the future and what the expansion will help them accomplish. Michael says the arrival of Aluminum Dynamics could signal significant growth for the industry in the Gulf Coast area—similar to the proliferation of manufacturers that moved in around Logan Aluminum in Kentucky.

“This expansion is the cornerstone for making our operations there, probably in the next five to seven years, as large as our facility in Bowling Green,” says Michael.

He adds that Craig and the Truist team proactively began providing insights on potential customers for Owl’s Head to reach out to. “That information is becoming our road map on how we’ll develop further in the Gulf Coast area,” says Michael.

We’re also proud to be a part of this environmental sustainability initiative that the company is leading.
—Craig Carlson, Truist Relationship Manager

Craig echoes Michael’s optimism for the future. “We’re excited about this expansion because we want to help Owl’s Head make money for their employees, their shareholders,” says Craig. “We’re also proud to be a part of this environmental sustainability initiative that the company is leading.”

For Owl’s Head Alloys, the partnership with Truist is a major step toward sustainable growth.

“When we started down this road with Truist, it wasn’t just about this transaction. It was about what’s after this,” says Michael. “By bringing Truist in as the lead on the banking, we were skating to where the puck’s going to be, not where the puck was then.”

The results

  • The first furnace at Owl’s Head Alloys’ facility in Mississippi began operations in January 2025, and a second furnace is scheduled to be operational in Q4 2025.
  • Owl’s Head secured air permits for three furnaces in Mississippi, setting the stage for future growth.
  • The company also plans to invest in additional growth opportunities in the near future.

How your business can get there

Travis’s advice: Seek out a financial advisor that acts as a true partner. “I was told very early in my career as a CFO: Never let a bank run your business for you,” says Travis. “I know Truist isn’t trying to do that.” Travis says Truist’s deep industry knowledge has been an invaluable resource he can tap into whenever he needs guidance. 

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