Arrow Buys IT Asset Disposal Service

04 February 2015

Arrow Electronics has acquired RDC, an IT asset disposition and remarketing firm based in the United Kingdom.

RDC, a wholly owned subsidiary of Computacenter UK Ltd., manages the IT asset disposition and remarketing process, including logistical management of collections, technical processing and secure data eradication or destruction, and remarketing of the assets.

“This acquisition further broadens Arrow’s value recovery business in Europe,” said Michael J. Long, chairman, president and CEO of Arrow. “RDC will allow us to better address the growing requirements of our global customers.”

RDC is based in Essex, United Kingdom, with estimated sales in 2014 of $84 million, which is also the purchase price. As part of the acquisition agreement, Arrow has entered into a five-year operating agreement with Computacenter for IT disposal services.

RDC is Europe's leading supplier of used technology products, selling more than 50,000 items per month.

RDC takes possession of a company’s old IT equipment, tests it for electrical safety and functionality, wipes the drives. It forecasts the resale value of the equipment and then sells the products through RDC's established remarketing channels. Profits are shared with the company.

Products are sold individually or by pallet or containers to individuals, traders, maintenance companies, international enterprises computer brokers, charities and social enterprises.

In some cases RDC refurbishes old equipment for companies. It collects the equipment from a company site, refurbishes, upgrades and reconfigures it if required, and redeploys the equipment to the same or another company site.

RDC also recycled equipment in compliance with environmental regulations.

Questions or comments on this story? Contact dylan.mcgrath@ihs.com

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