Environmental services specialist Reconomy has agreed to purchase Munich-based Reverse Logistics Group (RLG) as part of its international expansion plans.
RLG is a provider of end-to-end solutions for returns management and environmental compliance to businesses in over 80 countries worldwide, helping customers deal with the increasing environmental, regulatory, and logistical demands facing businesses today.
Turnover for RLG in 2020 is forecast to be greater than 170m Euros, which when combined with the existing Reconomy Group, takes pro-forma 2020 revenues above £465m. This is the second overseas acquisition for the Reconomy Group, building upon that of Noventiz, based in Cologne and announced in October.
The acquisition creates a global presence in core disciplines and also adds an entirely new capability to the Reconomy Group and its clients, namely reverse logistics. Reconomy says this proposition development is a key part of its long-term strategic plan to become a global leader in tech-enabled services to drive the circular economy.
Reconomy CEO Paul Cox, said: “This is a hugely exciting move for the Reconomy Group. Having taken our first step into the international market a few weeks ago, the acquisition of RLG gives us a truly global presence. It’s a major event in our journey, of which we are very proud. Looking at the consumer trends that will affect businesses going forward within the circular economy, we believe that broadening our capability – adding reverse logistics alongside our core resource management and environmental compliance offering – will ultimately bring significant benefit to Reconomy customers in the years to come. We’re delighted to welcome RLG’s experienced management team and all of their colleagues into the Reconomy family”.
RLG CEO Patrick Wiedemann added: “After an outstanding development of RLG in the past years, positioning the group as a leading global market player in the reverse logistics space with highly innovative solutions, we are now looking very much forward to continuing this success story as part of Reconomy Group. This enables us to now move to the next phase of our strategic development and further expand our service offering. The capabilities of Reconomy and RLG in combination build the basis to be a global leader in circular economy solutions, acting as an enabler for the transformation towards true environmental sustainability for our customers, while at the same time ensuring an outstanding customer experience in the returns process. We are very much looking forward to the exciting journey ahead”.