Data center and information storage company Iron Mountain plans to acquire IT asset disposition (ITAD) business Regency Technologies for $200 million.
Iron Mountain already operates its own ITAD service, and in 2021 announced that it would acquire global ITAD company ITRenew for $725 million.
Regency focuses on the US, and currently processes over 50,000 metric tons of material annually, reselling more than 2,000,000 units across eight locations in the country.
“This strategic transaction represents a significant milestone in our efforts to strengthen Iron Mountain’s presence in the Asset Lifecycle Management sector and our sustainability offerings, and will propel our enterprise growth forward,” said Mark Kidd, EVP & global general manager, Asset Lifecycle Management & Data Centers.
Jim Levine, CEO of Regency Technologies, added: “By integrating our presence, remarketing expertise, and recycling operations into Iron Mountain’s ALM business, we’ll be uniting a broad array of capabilities, further solidifying our leadership in the market.”
Should the deal close, $125m will be paid immediately, with the remainder due in 2025. The acquisition also features a potential performance-based earn-out, which would be payable in 2027, if earned. The transaction is subject to customary closing conditions.
