Dynamic Recycling Wins Bid to Acquire Assets of Shuttered E-Scrap Firm

SEATTLE (Scrap Monster): Dynamic Recycling-a full service electronic waste recycler with locations in Onalaska, WI and Nashville, TN emerged as the winning bidder in the auction held in connection with acquisition of assets of shuttered ECS Refining. The bid price to acquire the customer list and e-scrap inventories in California, Ohio and Texas of the Santa Clara-headquartered bankrupt firm more than doubled from the initial bid price. The auction was held in the Sacramento courtroom on July 25^th.

Dynamic Recycling had initially reached an agreement with ECS Refining to buy the assets for a sum of $160,000, out of which the company had already deposited $40,000 with the trustee. On top of that, the company had also agreed to pay $30,000 in return for a deal with Comcast and couple of other ECS’s top customers within a period of 45 days.

However, the competitive bid process lifted the price. Representatives of three other companies- Advanced Technology Recycling (ATR), METech Recycling and Regency Technologies also participated in the live auction. Finally, the judge issued the order approving the winning bid of $330,000 by Dynamic Recycling. Also, Regency Technologies, with a bid price of $320,000 was approved as the backup bidder.

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As per the order, Dynamic Recycling is required to obtain regulatory approval to remove inventory within 15 days from the date of approval. Failing to do so, the paid deposit will be declared forfeit, and the trustee will have all rights to go ahead with sale of assets to the backup bidder.

Earlier in April this year, ECS Refining had filed for Chapter 11 bankruptcy before the U.S. Bankruptcy Court for the Eastern District of California, after which the company was run by W. Donald Gieseke-the bankruptcy trustee. Afterwards, several unsuccessful attempts were carried out to sell ECS Refining as an intact, operating company.

This story originally appeared in www.resource-recycling.com