It seems some industry insiders are puzzled over the recent sale of Metech International to two of its own internal company leaders for a mere single US dollar. This unsettling fact begs the question: Has Metech made its last dollar?
Metech International, after all, has 5 US operations on top of its headquarters in Singapore. Yet upon further scrutiny, the company’s troubles become glaringly apparent. Metech has had significant difficulties adhering to waste control laws. Metech’s site in Gilroy, California was accused of multiple hazardous waste violations, according to a report by E-Scrap News this June.
Perhaps the Metech sale shouldn’t come as a surprise, though. After all, Metech did have its R2 certification for all US locations suspended earlier this year.
“Our customers know they can trust us because all 9 of our facilities are R2 certified,” said Brodie Ehresman, National Business Development Manager for Advanced Technology Recycling. “We’re audited by a third-party audit company on a yearly basis. We do this because we care about environmentally sustainable recycling methods. This differentiator is what sets us apart as industry leaders.”
Not only did Metech have its R2 certification suspended this year (certification was reinstated August 28), Metech isn’t certified with e-Stewards, either, and according to a report by independent valuer BDO Advisory Pte Ltd, Metech’s overall worth is nil. How can an international company with 5 US locations be worth $0 and sell for $1?
One well-known national e-scrap company reports seeing Metech at the bid for bankrupted ECS’s intellectual property and AMS equipment. The irony isn’t lost on anyone in the industry: A company with no value makes one last-ditch effort to save itself, not realizing it might be headed for a similar fate as the bankrupted company whose customer list it hoped to secure.
But what about the customers impacted by the Metech sale? In Metech’s own proposed disposal of its electronic waste management (EWM) business, the document ends with a section titled, “Caution in Trading.” Here, shareholders and investors are advised to exercise caution when dealing with Metech securities. If shareholders and investors are advised to exercise caution, what about Metech’s remaining customers?
What do customers in Clinton, MA; Creedmoor, NC; Denver, CO; Gilroy, CA; and Salt Lake City, UT do now? Do they continue to trust a company with no value of its own to secure value in the recovery of their assets?
Of course not.
The truth is Metech basically had no choice but to sell. Without certification, how can a company absorb liability and offer security to its customers? Certification is a differentiator that businesses can’t afford to ignore. Certification represents a commitment to environmental responsibility and tells customers, “You can trust us.” But Metech continues having trouble saying that, and this is a fact not lost on Metech’s current customer base.
Fortunately there is an alternative. An American based, R2 certified electronic recycler, 4th largest in the nation, with 9 locations–including a new facility in Las Vegas–Advanced Technology Recycling is undoubtedly the safest bet for those affected by the sale of Metech. Advanced Technology Recycling is ITAR registered and GSA approved, and operates an impressive fleet of vehicles that are all equipped with Geotab tracking software. Security and peace of mind are the immediate benefits of working with a company that has 25 years of experience in the ITAD/ITAM industry.
When asked about the Metech sale, Advanced Technology Recycling account manager Nick Masching minced no words: “Metech isn’t the first company to struggle with certification and have to sell, nor will it be the last. But Advanced Technology Recycling is there to assure businesses and industries across America that at least one company is going out of its way to be the most reliable, most secure, most convenient certified electronic recycler in the nation. You can bet your last dollar on that.”
DISCLAIMER: The information presented in the preceding article was prepared by Advanced Technology Recycling using public sources believed to be reliable and accurate.