DALLAS, TX / ACCESSWIRE / August 17, 2021 / Envela Corporation (NYSE American:ELA) ("Envela" or the "Company") announced today that its wholly owned subsidiary ECHG, LLC has entered into a definitive agreement to acquire Avail Recovery Solutions, LLC in an all-cash transaction.
The transaction is subject to customary closing conditions and is anticipated to close early in the fourth quarter of 2021.
Headquartered in Chandler, Arizona, Avail Recovery Solutions ("Avail") focuses on IT asset disposition (ITAD) services-the safe and responsible management of retired electronic equipment. They facilitate reuse of retired IT assets and equipment by refurbishing and then redeploying or reselling them. Avail also recycles discarded electronics, transforming obsolete equipment into raw material. This diverts material from landfills and provides feedstock for making new products.
Envela's ongoing business strategy includes seeking acquisitions with promising synergies, creating value for its shareholders and enhancing its brand with additional product offerings. Acquiring Avail will advance this strategy and expand the Company's presence in the environmentally friendly recommerce sector.
"Sustainability is at the core of what we do, and Avail has an impressive record of delivering creative, sustainable IT solutions through its team of innovative professionals," said Tommy McGuire, President of ECHG. "This is a terrific opportunity to expand our companies' recommerce offerings and generate additional value for our shareholders," added McGuire.
"We are elated about joining ECHG and the Envela family of recommerce companies, and all of the new opportunities this combination promises for Avail's clients, employees and business partners," said Justin Tinkle, President of Avail Recovery Solutions. "I believe we'll significantly enhance our offerings and add considerable value to our customers by teaming with ECHG, whose relentless commitment to quality and innovation is well established. We can't wait to start this exciting new chapter together," added Tinkle.
About ECHG
ECHG helps a number of the world's leading brands and retailers accelerate their sustainability transformations by extending their assets' life cycle. Its services include returns management, product refurbishment, consumer trade-ins, product de-manufacturing, end-of-life recycling, IT asset disposition, recommerce, and reverse logistics.
About Avail Recovery Solutions
Avail is a full-service electronics and materials lifecycle-management company, providing innovative recommerce solutions for IT asset disposition and electronics recycling. Avail helps its clients meet their sustainability goals, utilizing industry-leading transparency for its disposition and recycling services. Its services include asset disposition, complete digital-data destruction, and value recovery of technology assets. Avail works with Fortune 2000 companies and other organizations to recover invested capital from retired assets through resale and end-of-life recycling. For more information about Avail, visit the company's website, www.availrecovery.com.
About Envela
Envela and its subsidiaries engage in diverse business activities within the recommerce sector. These include recommercializing luxury hard assets, consumer electronics and IT equipment; and end-of-life recycling solutions. Envela assesses its inventory of recommerce purchases for their potential to be refurbished and resold as whole goods, or to be recycled for component parts or precious-metal value. Envela also offers comprehensive recycling solutions for a variety of other companies seeking responsibly to dispose of end-of-life products. Envela operates primarily via two recommerce business segments. Through DGSE, LLC the Company recommercializes luxury hard assets via Dallas Gold and Silver Exchange, Charleston Gold & Diamond Exchange, and Bullion Express brands. Through ECHG, the Company operates Echo Environmental Holdings, ITAD USA Holdings, and Teladvance, which recommercialize primarily consumer electronics and IT equipment, and provide end-of-life recycling services for various companies across many industries. Envela conducts its recommerce operations at retail and wholesale levels, through distributors, resellers, dedicated stores and online. Envela is a Nevada corporation, headquartered in Irving, Texas.
Additional information about Envela is available at its investor-relations site, Envela.com.
Forward-Looking Statements
This press release includes statements that may constitute "forward-looking" statements, including statements regarding current and future equity acquisitions, business strategies, and the potential future success of the Company and its subsidiaries. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, market conditions and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release except as required by law.
Investor Relations Contact:
Matt Glover and John Yi
Gateway Investor Relations
1-949-574-3860
[email protected]
SOURCE: Envela Corporation