Challenge
Our client is a biopharmaceuticals company with operations in the U.S. and Europe. After deciding to close a New Jersey facility as part of a strategic consolidation, the client was left with a wide range of biopharma, IT, and office equipment. Needing to focus its resources on core business, the client sought an expert partner to manage these surplus assets from end to end.
Solution
The client selected Liquidity Services to expertly manage its surplus facility assets while maximizing recovery and mitigating all risks. With nearly five million biopharma assets sold for more than $450 million and experience managing surplus programs for leading biopharma companies, Liquidity Services is well-equipped to meet the client’s needs.
Liquidity Services handled all aspects of managing this surplus, from valuation to removal and sale. Tapping our proprietary market database as well as our asset and biopharma industry expertise, we appraised all assets at the client’s facility. We helped the client determine which assets would be transferred, donated, or sold to strategic partners as well as what remaining assets were valuable enough to sell. Those assets were then carefully removed and shipped by Liquidity Services to our nearby Cranbury, NJ and Columbus, OH facilities to be prepared for sale.
At our sales service centers, Liquidity Services prepared the client’s assets for sale by creating online listings with detailed descriptions and pictures to attract buyer interest. We conducted four online auctions over a year, grouping the client’s assets with those from other biopharma clients to maximize interest and recovery. We reached a worldwide audience of biopharma buyers by promoting the auctions through online advertising and email campaigns to targeted lists.
Inadvertently selling biopharma assets to illicit parties such as counterfeit drug manufacturers could lead to fines and criminal prosecution for our client. To prevent such a misstep, Liquidity Services screened all buyers against more than 300 global restricted-party lists that include suspected terrorists, criminal enterprises, and targets of political and economic sanctions. This ensured that the client’s assets would not be sold to the wrong buyers.
Throughout the auction events, we brought prospective buyers into our warehouses to inspect the assets, supervising them to ensure items weren’t damaged. We then worked closely with the buyers to remove assets from our warehouses safely and in compliance with all environmental, health, and safety regulations.
Results
Liquidity Services simplified our client’s facility closure process, handling every aspect from appraising the assets to safely, compliantly removing them. By managing the process from beginning to end, we freed up resources for the client to focus on core business while ensuring the closure proceeded according to plan.
Our four online auctions returned significant value to the client’s bottom line, generating approximately $750K in recovery for over 450 assets and attracting over 7,000 bids from nearly 200 bidders. Our ability to reach interested buyers around the world drove these successful auctions, maximizing recovery for our client.
