Contec buys return management specialist
Contec said it is in the process of acquiring substantially all the assets and operations of Replico, The value of the deal was not disclosed.
Contec specializes in repairing and refurbishing set-top boxes. Two years ago, the company went through Chapter 11 proceedings, emerging with a substantially smaller debt load.
Replico has facilities in Reno, Nev., and Charlotte, N.C. It performs returns management and related logistics services for a wide array of customers, technologies and industries including cable TV and IPTV companies.
Hari Pillai, president and CEO of Contec, said, “The added footprint that Replico provides allows us to process returns close to end-users in key markets while cutting edge IT tools allow instantaneous synchronization with customer billing and tracking systems. With Contec’s QuickTest solution we are able to rapidly test and service returns before returning them to productive use, thus improving asset utilization and reducing capital investments for our customers. For a smaller subset of returns that require more extensive repairs, we will seamlessly leverage Contec’s low-cost repair locations to deliver the unique blend of agility and cost that fits each customer.”
The acquisition, which will be funded from Contec’s available funds, is due to close on January 31. All current Replico employees are anticipated to transition to become Contec employees.