Majestic Corporation Plc a specialist in recycling precious and non-ferrous metals, has announced it has entered into a Conditional Share Purchase Agreement to acquire the entire issued share capital of BMRA member, Telecycle Europe Limited, a specialist recycling business located in Deeside, UK 

The acquisition of Telecycle aligns with Majestic's strategic goal to expand its presence in the UK, a market Majestic deems to present significant growth opportunities. 

In 2021, the UK generated approximately 1.6 million tonnes of e-waste, highlighting the urgent need for effective recycling solutions. Telecycle, a profitable UK-based recycling business, has established a trusted supply source within the UK and currently acts as a tolling agent for Majestic. At present, Majestic sources some recyclable material on an arm’s length basis with Telecycle, an existing affiliated company. By acquiring Telecycle, Majestic will secure a steady supply of recyclable material, expand its network of suppliers and customers, and eliminate any perceived conflicts of interest, thereby strengthening its market position. 

Acquiring Telecycle provides Majestic Corporation with an operational base for the Company to pursue its planned expansion in the UK and overall strategy, including:

• A fully licenced and ISO-certified facility at Telecycle’s Deeside plant providing a wholly-owned UK subsidiary for the Company’s e-waste and collection, sorting, processing, and shipping operations.
• Immediate revenue recognition for the year ending 31 December 2024 as Telecycle is integrated into the enlarged group on a consolidated income statement basis.
• The Company believes the acquisition will provide operating efficiencies, which will lead to improved margins for both businesses.
• An opportunity to reduce the UK’s supply chain waste of critical and precious metals, including lithium, gold, cobalt, copper, and nickel.
• The enhancement of relationships with UK suppliers is anticipated to help grow the Company’s UK recycling volumes.

Peter Lai, Executive Chairman of Majestic Corporation Plc, commented: "We are delighted to have conditionally agreed to acquire Telecycle and expand our UK operations. The UK market's commitment to sustainability and recycling makes this Acquisition a crucial driver for future growth. We look forward to integrating Telecycle into Majestic and updating shareholders on our progress."