Closed Loop Partners' Portfolio Company, Sage Sustainable Electronics, Completes Acquisition of Relectro

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Oct 21, 2024, 09:00 ET

Sage Sustainable Electronics' bolt-on acquisition of Relectro aims to increase electronics recovery through scaled repair services

NEW YORK, Oct. 21, 2024 /PRNewswire/ -- Today, Closed Loop Partners' portfolio company, Sage Sustainable Electronics ("Sage"), announces their acquisition of Relectro, a national provider of electronics repair, refurbishment and logistics services. The acquisition expands Sage's offerings into repair services, bolstering the company's existing IT Asset Disposition (ITAD) services. The acquisition was completed through a follow-on investment from Closed Loop Partners' buyout private equity group focused on acquiring and growing platforms to advance a circular economy.

Closed Loop Partners first joined forces with Sage in 2023 as a majority shareholder in the company, aiming to accelerate the company's growth and strengthen its position as a leading provider of sustainable ITAD services in North America. Since then, Sage has been at the forefront of advancing a circular economy for electronics, providing secure reuse and recovery solutions to businesses seeking to sustainably dispose of their IT assets.

Today, Sage faces an evolving IT industry. Devices are being replaced much more often, with an average refresh cycle by IT departments of two years for smart phones, four years for laptops and five years for printers. Amidst increasing demand for repair services to extend the lifecycle of electronic devices, Sage completed its acquisition of Relectro to provide a comprehensive suite of solutions that can keep more devices in circulation.

Since 2011, Relectro has specialized in electronics repair, focused on refurbishing products for continued use before disposal. The company provides repair-on-demand services to leading warranty repair firms, insurance firms, mobile device providers and more. With a repair rate of over 25,000 assets per year across wireless handsets, laptops, tablets and other devices, Relectro is positioned to add significant capacity for advanced repair services to Sage's platform.

"This marks an important milestone for Sage as we expand our platform with Relectro. Their wide-ranging partner network and deep technical expertise are key assets to our growth, adding strategic expertise to our platform," said Bob Houghton, CEO of Sage Sustainable Electronics. "Relectro enables us to expand depot repair services for enterprise clients––extending lifecycles, reducing costs and increasing sustainability."

The geographical proximity of the two companies creates more opportunity for a fully integrated platform of repair services, asset management, reverse logistics and recycling services for the wireless and smart device technology industry. Sage recently announced their fourth national repurposing center in Montgomeryville, PA, which is located less than 10 miles away from Relectro's 40,000 square foot facility in Telford, PA.

"We look forward to this next phase of growth as a part of Sage Sustainable Electronics' platform," said Brian Itterly, Founder & CEO of Relectro. "For over a decade, Relectro has provided critical repair services for electronics––a key part of keeping devices in circulation for longer. Today, our repair and refurbishment services complement and build on Sage's reuse and recovery services, offering a wider range of solutions for businesses across the country."

This is the seventh investment to date from Closed Loop Partners' buyout private equity group, employing a buy-and-build strategy to partner with companies and scale platforms and enabling technologies across plastics & packaging, organics, circular technology and textiles to develop, accelerate and modernize circular supply chains and recycling & reuse infrastructure.

The investment to support Sage's acquisition of Relectro builds on Closed Loop Partners' robust portfolio of investments to advance circularity for electronics––one of the key focus areas of the firm, alongside packaging, textiles, organics and more. Closed Loop Partners' broader portfolio of investments in electronics circularity spans IT asset management and disposition, disassembly and remanufacturing, collection and reuse, and end-of-life electronics recycling.

"Closed Loop Partners is proud to back Sage Sustainable Electronics' acquisition of Relectro, laying the foundation for an expanded platform with strong operational processes, complementary geographical locations and continued progress toward electronics circularity," said Jackson Pei, Co-head of Closed Loop Partners' buyout private equity strategy. "We look forward to supporting Sage's continued growth with their now expanded IT Asset Disposition and repair services."

Following the acquisition, Sage will continue to grow its services and geographical footprint, positioning the company for wider reach to keep more electronics in circulation and out of landfills.

To learn more about Closed Loop Partners, please visit here.

To learn more about Sage Sustainable Electronics, please visit here.

To learn more about Relectro, please visit here.

About Closed Loop Partners

Closed Loop Partners is at the forefront of building the circular economy. The company is comprised of three key business segments: its investment arm, Closed Loop Capital Management; its innovation center, the Center for the Circular Economy; and its operating group, Closed Loop Builders. Closed Loop Capital Management manages venture capital, buyout private equity and catalytic private credit investment strategies.

Closed Loop Partners' buyout private equity strategy captures this market opportunity for the circular economy by identifying solutions, originating innovative opportunities, and building and scaling platforms and enabling technologies across plastics & packaging, organics, circular technology and textiles to develop, accelerate and modernize circular supply chains and recycling & reuse infrastructure.

About Sage Sustainable Electronics

Sage Sustainable Electronics, based in Columbus, Ohio is a leading provider of IT Asset Disposition (ITAD) services, safely and securely refurbishing used IT assets for another life. Founded in 2014 by Bob Houghton, Sage's platform has expanded to include four national repurposing facilities across three states, processing nearly one million assets annually. Sage extends the useful life and increases the recovery value of IT assets for its clients, which include Fortune 100 companies across various industries, including finance, healthcare and defense.

About Relectro

Relectro is a national leader in electronics repair, refurbishment, asset management and electronics recycling. Founded in 2011, Relectro handles the entire device lifecycle of electronic mobile devices consisting of smartphones, computers, laptops, tablets, smartwatches, gaming, IoT and various other mobile electronics. It operates a R2V3 certified state of the art and full-service depot facility working with many insurance, extended warranty, EDU, enterprise and asset disposition partners in the U.S.

CONTACT:
Beatrice Miñana
[email protected]

SOURCE Closed Loop Partners