Closed Loop Adds Another Investment to its Growing List
An investment firm devoted to the circular economy has made another significant move, this time taking majority ownership in Sage Sustainable Electronics.
On Nov. 1, it was announced that the majority of shares in Sage, an electronics processing firm based out of Columbus, Ohio had been acquired by the venture capital group, Closed Loop Partners. This purchase has been achieved through its newly formed Closed Loop Leadership Fund, which is a private equity fund set up by the organization themselves.
“This marks a significant step towards advancing the circular economy within the ITAD industry,” Bob Houghton, Sage’s CEO who co-founded the firm in 2014 with Jill Vaské, the president of Sage, stated. “First of all, they truly share our commitment to sustainability and reuse. That, of course, is always first on our list. But secondly, this partnership enables us to further expand our reach and increase our impact.”
However, no further details regarding the agreement have been released.
Numerous Strategic Purchases
This most recent venture from Closed Loop Partners is just one of many deals that they have made in various sectors, including curbside recycling, packaging, apparel, and food production.
Closed Loop Partners has also newly invested in Retrievr- a doorstep electronics collection company, and ERI- a renowned nationwide electronics recycling and reuse organization. Even more recently Closed Loop backed VALIS, which pioneers metals sorting technology, Apkudo, which boosts efficiency and transparency across the electronics supply chain, and Solarcycle – specializing in solar panel recycling.
Additionally, this year, the introduction of a certification standard for recycled-content electronics was also supported by the initiatives of Closed Loop Partners.
Closed Loop’s announcement of its partnership with Sage highlights the advantages of reusing electronics. In 2022, Sage was able to redirect 58 percent of incoming devices for reuse, which has prevented nearly 300 million pounds of carbon dioxide equivalent emissions from entering the atmosphere and overall, the company refurbishes or recycles almost 1 million devices annually.
In a statement, Jackson Pei, the director at Closed Loop Partners’ Leadership Fund, mentioned that “an overlooked source of climate risk is the emissions associated with creating a new product.” He further emphasized how important it is to keep “used materials in circulation to reduce the need for new extraction and new product manufacturing is an important part of mitigating climate impact.”
Sage Projected to Grow
The investment will help Sage’s journey of growth and expansion. During recent years, the company has significantly increased its presence in Columbus and opened another facility in a former Arrow Electronics space in Reno.
“Sage Sustainable Electronics’ work to safely increase reuse and proper disposition in the ITAD space is critical to ensuring valuable materials, such as IT assets, do not end up wasted in landfills or the natural environment. E-waste represents a massive loss of value that we can recover through more efficient reuse and recycling,” stated Karine Khatcherian, Managing Director and Co-Head of the Closed Loop Leadership Fund at Closed Loop Partners. “We are proud to partner with the Sage team and support their continued growth as one of the leading IT Asset Disposition providers in North America.”
“With Closed Loop Partners as a majority shareholder, Sage will have access to additional resources, a deep ecosystem of companies advancing the circular economy, and expertise to further enhance its services and expand its reach,” the announcement noted.
