(Alliance News) - Restore PLC on Tuesday said it has acquired IT recycling and asset disposition business Computer Disposals Ltd, creating the UK's "number one IT recycling business".
Restore is a document management, commercial relocation and IT recycling business and did not disclose financial details of the buy. Having acquired Runcorn, UK-based Computer Disposals, the company said its Restore Technology business is now "the number one IT recycling business in the UK market."
Computer Disposals is a "well invested, highly profitable and cash generative business". In the medium term, is is expected to generate revenue of around GBP8 million and earnings before interest and tax exceeding GBP2 million per annum.
"The addition of [Computer Disposals], together with the group's acquisition of E-Recycling Ltd, previously announced on 2 November 2020, further improves Restore's network coverage, scale and potential for synergy," said Restore.
Additionally, Restore said the deal represents a further milestone in its growth strategy, which includes both organic expansion and strategic acquisitions.
Computer Disposals operates from a facility in Runcorn, Cheshire which Restore described as "state-of-the-art". This facility will increase capacity for Restores operations in north west England and complements existing sites in Birmingham, Bedford, Bristol, Portsmouth and Dunsfold.
Restore Chief Executive Charles Bligh said: "[Computer Disposals] is one of the most respected operators in the market and after several years of discussions we are delighted that they have decided to become part of our fast-growing company. Restore Technology is now comfortably the UK market leader in the recycling of IT assets and with the addition of a major new site in the North West, we have increased our scale and created greater opportunity to grow, both organically and with additional acquisitions in the future."
Shares in Restore were up 2.3% at 383.75 pence in London on Tuesday morning.
By Anna Farley; annafarley@alliancenews.com
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Restore (RST)